Meralco unit takes over biggest solar farm in Philippines

Manuel V. Pangilinan (right) is the new chairman, president and CEO of SPNEC, with founder Leandro Leviste as vice chairman.
STAR/ File

MVP completes P15.9- acquisition of SPNEC shares

MANILA, Philippines — Business tycoon Manuel V. Pangilinan has completed his acquisition of SP New Energy Corp. (SPNEC) and is now set to take the helm of the solar energy company founded by Leandro Leviste.

In a disclosure to the Philippine Stock Exchange (PSE) yesterday, SPNEC said MGen Renewable Energy (MGreen), a unit of Pangilinan-led Meralco, has completed its P15.9-billion investment in the company.

MGreen has paid the balance of P8.9 billion following an initial payment of P7 billion, completing its acquisition of SPNEC with 15.7 billion common shares and 19.4 billion preferred shares. This translates to MGreen having a total voting interest in SPNEC of 50.5 percent.

As a result, SPNEC elected Pangilinan as its chairman, president and CEO with Leviste as vice chairman.

MGreen is the renewable energy development arm of Meralco Powergen Corp., a wholly owned subsidiary of  Meralco.

Last May, MGreen announced that it was acquiring a controlling stake in SPNEC as part of its plan to build a renewable energy capacity of 1,500 megawatts by 2030.

Pangilinan, Meralco chairman and CEO, said his group is aiming to energize the first 600 megawatts of the project in the first quarter of 2026.

MGreen plans to use SPNEC as the primary vehicle to develop 3,500 MW of solar panels and 4,000 megawatt-hours of battery energy storage systems in Luzon, seen as one of the largest solar projects not just in Asia, but in the world.

In its disclosure, SPNEC said it also appointed Amanda Roselle Bengson as director, chief compliance officer and corporate secretary; Pedro Emilio Roxas as independent director; Dominador Camu Jr. as COO; Anthony Matthew Co as assistant treasurer, and Jo Marianni Ocampo as assistant corporate secretary.

SPNEC is the developer of a planned 3.5 GW solar and 4.5 GWh battery project centered in Nueva Ecija, which would be the world’s largest single contracted solar project. SPNEC is currently majority owned by Leviste’s Solar Philippines.

Prior to the transaction, Solar Philippines sold 1.6 billion secondary shares of SPNEC for P2 billion to Metro Pacific Investments Corp. It entered into an option agreement to sell up to 7.4 billion secondary shares for up to P9.25 billion. Based on 50.1 billion shares outstanding, this would value SPNEC at P63 billion.

The estimated total investment for the company’s planned Nueva Ecija solar project has been pegged at “around P200 billion.”

“This will be one of the largest solar projects not just in Asia, but in the world,” Pangilinan said.

“We are optimistic that becoming the newest member of the MVP Group of Companies will help SPNEC grow even beyond what we have planned, for the benefit of all shareholders and other stakeholders,” Leviste said.

At the PSE, SPNEC shares closed at P1.25 per share yesterday, up by 11.61 percent.

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