AC Energy raises US$410 million to fuel renewables expansion

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
AC Energy's expansion to Vietnam kicked off with 330MW and 80MW projects announced in 2018 (Credit: AC Energy)

AC Energy is to support its renewable portfolio with US$410 million in fresh funds, raised through a green bond structure supported by major development finance players.  

The World Bank’s International Finance Corporation (IFC) invested US$75 million to anchor a five-year US$300 million green bond tranche for the renewables specialist, a subsidiary of Philippine conglomerate Ayala Corp. Meanwhile, US$20 million was invested by the Asian Development Bank to support a separate 10-year US$110 million tranche.

AC Energy will dedicate the fresh funds to its 2025 Vision plans, which should see the firm’s East Asian and Pacific renewable portfolio grow to reach the 5GW capacity mark by that year.

According to the IFC, the US$75 million it has supplied are earmarked for “selected” solar PV and wind projects in Vietnam, a country AC Energy has decisively expanded into in recent years.

In 2018, the firm launched works for its first two Vietnamese projects – 330MW Ninh Thuan Solar and 80MW Khanh Hoa & Dak Lak – which are now under construction. The duo comes to join an already-built Philippine PV portfolio that includes the Islasol (80MW), Sacasol (45MW) and Monte Solar Energy projects (18MW).

AC Energy’s fundraising efforts come after reports emerged last May that it was looking to divest a coal-fired plant on the Mindanao island, with plans to re-focus on renewables. Last November, local media reported the firm would retain control of the 552MW facility for the time being.

The Singapore-listed green bond structure – a certified climate bond – is the first infrastructure-focused instrument of its nature to list in South Asia, the IFC said. 

Vivek Pathak, the IFC director responsible for East Asia and the Pacific, said the raise showcases the “tremendous potential” of green bonds to unlock institutional capital for infrastructure assets.

“We look forward to expanding our support of such issuances across Asia, advancing the integration of regional power and financial markets,” he added.

Plans for the BIM Solar Power Plant in the Ninh Thuan province were announced last year. Credit: BIM Group
6 October 2021
The future is bright for a new era of US solar and storage, and the 8th annual Solar & Storage Finance Summit will provide opportunities to discuss solutions to the industry’s challenges and provide a networking platform designed to bring together the top minds in the industry to do business. With a mix of high-level, informative presentations and panels, a stellar cast of speakers and audience members with deal-making capacity, the 2021 edition of the event will be a sell-out success.

Read Next

PV Tech Premium
August 2, 2021
In today’s installment of PV Tech’s ‘European solar under the spotlight’ feature, we assess the potential and key drivers behind Europe’s leading markets in Germany, Spain and the Netherlands.
PV Tech Premium
July 30, 2021
Not only will solar be the dominant source of new power generation in Europe by 2025, cementing its position as the third largest market for solar globally, but the continent has placed the asset class at the very heart of its COVID-19 recovery strategy. As part of a week-long special report on PV Tech Premium, Liam Stoker, Edith Hancock and Jules Scully explore the drivers for solar in Europe, the key markets and the challenges that remain.
July 29, 2021
US residential solar installer Sunnova said it was investing in its end-to-end solar services to cater for customers demanding more from their rooftop installations.
July 29, 2021
The US Senate has passed a new bipartisan infrastructure bill after weeks of protracted discussions, establishing US$550 billion in new infrastructure funding as part of an investment described as “once-in-a-generation”.
July 27, 2021
Canadian Solar has closed a BRL500 million (US$100 million) financing facility to develop a Brazilian solar portfolio claimed to be the country’s largest, while also giving it the option to hold built solar assets for longer.
July 27, 2021
A round-up of the latest news from the US solar market, featuring Vision Solar’s commitment to hire “hundreds” of sales staff as part of a two-state expansion, Recurrent Energy’s sale of two major assets in Texas and news of 8minute Solar Energy strengthening its legal team.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
August 19, 2021
At 9am (PT) | 6pm (CEST)
Solar Media Events
August 25, 2021
Solar Media Events
October 6, 2021
Solar Media Events
October 19, 2021
BRISTOL, UK