Ayala-led AC Energy (ACEN) has got the green light from the Philippine Securities and Exchange Commission to list its 10-billion-peso (US$175.04 million) green bonds on the Philippine Dealing Exchange. 

The target listing date of the peso-denominated fixed-rate bonds is September 22, according to ACEN’s stock exchange disclosure, while the offer period ran from September 9 to 15. 

The green bonds have a five-year tenor and a fixed coupon interest rate of 6.0526% per annum, due in September 2027. They are the first bond in the company’s 30-billion-peso issuance of debt securities, all of which will fund renewable energy projects.

The bonds, which qualify as Association of Southeast Asian Nations (Asean) green bonds, will fund three major solar farms. Asean Green Bond Standards dictate that proceeds of bond issuances must be used exclusively for the funding of eligible green projects.

The sale of the bonds will fund the San Marcelino solar farm in Zambales, which will have 283 megawatts of direct current (MWdc), the 42MWdc expansion of the current 72MWdc Arayat-Mexico solar farm in Pampanga, and the construction of the 133MWdc first phase of the Cagayan solar farm in Lal-lo, Cagayan, as well as various other smaller green projects.

According to the draft prospectus, 59.48% of the proceeds, or 5.87 billion pesos, will fund the San Marcelino project, while the Cagayan farm and the Arayat-Mexico expansion will each get 20.26%, or 2 billion pesos. 

BDO Capital & Investment and BPI Capital will serve as joint issue managers, while BDO Capital, BPI Capital, RCBC Capital and SB Capital Investment are the joint lead underwriters and bookrunners for the transaction.

ACEN, which currently has over 3,400MW of attributable renewable energy capacity in the Philippines and neighboring Southeast Asian countries, is building towards 5,000MW of renewables by 2025 with the aim of becoming the largest listed renewables platform in Southeast Asia.