ALTERNERGY Holdings Corp., through its unit Solana Solar Alpha, Inc., has secured a P1-billion loan from Rizal Commercial Banking Corp. (RCBC) to fund the construction of its 28-megawatt-peak (MWp) Balsik Solar Power Project in Hermosa, Bataan.
“We have signed the omnibus loan and security agreement for our Balsik Solar Power Project,” Alternergy President Gerry P. Magbanua said in a statement on Thursday.
“The financing from RCBC further advances the ongoing construction of the Balsik Solar Power Project as we aim to complete it by early in the second half of this year,” he added.
The company said that the solar project’s total cost is P1.374 billion.
RCBC Capital Corp. acted as the lead arranger for the transaction. Picazo Buyco Tan Fider and Santos (Picazo Law) were tapped as the lender’s counsel, while Tantoco Villanueva & De Guzman Law Offices (Tavidell) acted as the borrower’s counsel. AFRY Philippines, Inc. served as the lender’s technical advisor, and Marsh Philippines, Inc. served as the lender’s insurance advisor.
Over the past ten years, RCBC has provided a total of P3.65 billion in financing to Alternergy.
Last year, the two companies entered into another financing agreement for P5.33 billion for Alternergy’s 64-MW Alabat Wind Power Project, which is subject to financial close.
RCBC provided project financing to Alternergy’s 54-MW Pililla Wind Power Project in 2014, the 12-MWp Kirahon Solar Power Project in 2015, and its portfolio of commercial rooftop solar projects in 2018.
Alternergy is targeting to develop up to 500 MW of additional wind, solar, and run-of-river hydro projects.
At the local bourse on Thursday, shares in the company climbed by 8.18% to close at P1.19 apiece. — Sheldeen Joy Talavera