AC Energy generates $60M from green bonds

AC Energy Inc. has raised $60 million from its latest issuance of green bonds that will be used to bankroll its renewable energy (RE) expansion efforts in the Asia-Pacific, parent firm Ayala Corp. said on Thursday.

In a disclosure, the Ayala-led conglomerate said the senior green bonds maturing in 2024 were priced in line with current market prices as AC Energy locked in competitive rates amid challenging market conditions.

The bonds, issued through private placement, form part of AC Energy’s $1-billion medium-term note program. These would be listed on the Singapore Exchange Securities Trading Ltd.

AC Energy has now raised a total of $470 million from green bonds, which it started issuing early last year. Hongkong and Shanghai Banking Corp. Ltd. is the dealer for this transaction.

In January 2019, AC Energy first sold green bonds amounting to $ 225 million. That was the first publicly syndicated Climate Bond Initiative-certified US-dollar green bonds issued in Southeast Asia.

In November, AC Energy raised $400 million from its first US dollardenominated fixed- for- life green bonds issued globally.

As of the first quarter of 2020, AC Energy has allocated about $455 million to 11 renewable projects in Vietnam, Indonesia and the Philippines, with a combined gross capacity of more than 1,600 MW.

These include investments for new greenfield projects in Vietnam and the Philippines, as well as the acquisition of additional stakes in RE projects here.

AC Energy has 180 MW of solar projects under construction in the Philippines, and over 200 MW of solar and wind projects being built in Vietnam.

AC Energy shares fell by 8 centavos or 3.38 percent to close at P2.29 each on Thursday.