The AYALA-led AC Energy Philippines, Inc. has subscribed to the share of Buendia Christiana Holdings Corp worth P350 million, which BCHC will use to acquire possible land and housing sites.
Star Energy signed an agreement to receive 3.5 million shares with a par value of P100 from Star Energy.
BCHC is a special purpose vehicle whose original purpose is to facilitate the parent firm’s potential real estate development projects.
The acquisition will finance Ayala’s land purchase ventures in Singapore.
ACEN has agreed to subscribe to BCHC’s redeemable preferred B shares because of the company’s capital raising policy. The shares will be paid in tranches with partial payouts of P150 million.
The balance of the subsciption price will be paid upon request.
BCHC has stated that the new capital increase and the subscription to new shares is subject to the required regulatory approvals from the Securities and Exchange Commission (SEC) and the full payment of the required subscription price.
Last week, the Ayala firm committed P11 billion in funding for a solar energy project and a wind farm in Ilocos Norte.
In the third quarter of 2012, ACEN posted an attributable net income of P977.78 million, nearly three times higher than a year ago. Revenue increased by 51% to Php5.26 billion primarily because of a jump in energy sales as a result of the new contracts.