Phinma Energy Corp. subscribed to the preferred shares of Trans-Asia Renewable Corp. to provide funds and build up the capital base of its subsidiary.
Phinma Energy disclosed to the Philippine Stock Exchange on Friday the company acquired the shares on January 5 after its board approved the transaction in December last year.
The company paid P187.5 million to Trans Asia Renewable, which is engaged in renewable energy generation. The amount represents 25 percent of 25 percent of the increase in the capital stock of the unit.
The acquisition comprised of 750 million shares at P1 apiece representing 15 percent of the total outstanding shares of the company.
The balance of the transaction will be paid out subject to the call of the Phinma Energy board.
Phinma Energy’s consolidated net income more than doubled to P827 million in the first nine months of 2016 from P398 million year-on-year.
Revenue from the sale of electricity during the period increased 14 percent on year to P11.2 billion.
Phinma Energy’s available energy for the year increased with the commercial operation of the second 135 megawatt coal-powered plant of South Luzon Thermal Energy Corp., a 50-50 joint venture of Phinma Energy and AC Energy Holdings Inc. of Ayala Corp., and output from the company’s Power Barges 101 and 102 in February.
Trans-Asia Renewable’s 54 MW wind farm in San Lorenzo, Guimaras, meanwhile, delivered 72.4 gigawatts of wind-powered electricity during the period.
Maibarara Geothermal Inc., in which Phinma Energy has a 25-percent interest in a joint venture with Petrogreen Energy Corp and PNOC Renewables Corp., operated at a high level of capacity, producing 112.6 gigawatt-hours during the period.
Commercial operation of the expanded 32-MW output from the original 20 MW is expected by the second half.
Phinma Energy through its subsidiary expressed keen interest to expand its renewable energy portfolio, which includes new wind farm installation prospects in Sibunag, Guimaras and Ballesteros, Cagayan.
The company is also studying the feasibility of constructing an integrated liquefied natural gas facility in Sual, Pangasinan.
It plans to build a 900-MW coal fired power plant, also located in Sual.