AC Energy enters Myanmar market

MANILA, Philippines — AC Energy Inc., the power platform of the Ayala Group, is expanding into Myanmar—its fourth overseas market— following the deal it signed with Singapore-based Yoma Strategic Holdings Ltd. to jointly work on around 200 megawatts (MW) of renewable energy projects.

In a disclosure to the Philippine Stock Exchange yesterday, AC Energy said it signed a binding term sheet with Yoma Strategic to form a joint venture firm that will invest in Yoma Micro Power Pte. Ltd.

Yoma Micro Power builds micro power plants and mini-grids that provide electricity to off-grid rural communities and telecommunications towers in Myanmar.

Under the binding term sheet, AC Energy and Yoma Strategic will be investing at least $30 million into Yoma Micro Power.

AC Energy Renewables chief operating officer Patrice Clausse said the partnership would allow the Ayala Group to participate in Myanmar’s renewables sector in a significant way and to reach AC Energy’s 2025 goals.

“We are delighted to partner with Yoma Strategic who shares the same aspiration to build a meaningful portfolio in renewable energy and together, be able to contribute to creating an environmentally sustainable future. Our combined expertise, strong financing capabilities and AC Energy’s commitment to shore up presence in the fast-growing region will provide a critical platform for growth in the country,” he said.

Yoma Strategic chief executive officer Melvyn Pun said supply of electricity is one of the largest opportunities and is also one of the biggest bottlenecks for economic development in Myanmar.

“We are excited to have AC Energy as our partner to drive sustainable and inclusive economic growth. AC Energy’s international expertise in the renewable energy sector and the access to funding will be invaluable as we work together to service this huge, underserved market in Myanmar,” he said.