LISTED Phinma Energy Corp. said it has invested an additional P1.6 billion in its renewable energy unit Trans-Asia Renewable Energy Corp. (Tarec) to build up the latter’s capital base.
In a disclosure to the Philippine Stock Exchange on Friday, Phinma Energy said it acquired an additional P1.6 billion worth of shares in Tarec at a price of P1.00 per share on Wednesday, January 11, on top of its subscription of P750 million worth of shares last January 5. The latest transaction brings its investment in Tarec to P2.35 billion.
The company said that on January 5 this year, it subscribed to 750 million preferred Tarec shares, paying 25 percent or P186.5 million of the transaction on the same day. The balance of P562.5 million was paid on January 11.
On the same day, January 11, it subscribed to 1.6 billion preferred Tarec shares and paid in full the amount of P1.6 billion, the company said.
The amount purchased is equivalent to 15 percent of the total outstanding shares of Tarec.
Phinma Energy said the share subscriptions will “provide funds to the subsidiary and build up its capital base.”
Late last year, Tarec officials said the company was looking to expand its wind portfolio. It currently operates the 54-megawatt, 27-tower wind farm in San Lorenzo, Guimaras under a Wind Energy Service Contract certified by the Department of Energy.
The company plans to add 40 MW more to the San Lorenzo wind farm capacity and put up another wind power project in nearby Nueva Valencia municipality in Guimaras, Tarec vice president Danilo Panes earlier said.
Established in 1994, Tarec is involved in developing and utilizing renewable energy projects. It is a unit of Phinma Energy (previously known as Trans-Asia Oil and Energy Development Corp.) which is engaged in power generation and oil and mineral exploration.
Phinma Energy is under parent firm Phinma Corp., which also has interests in manufacturing steel products (Union Galvasteel Corp.); property (P&S Holdings Corp. and Asian Plaza Inc.); business process outsourcing (One Animate Limited); and education (Phinma Education Holdings Inc.).