SM shareholders approve Philippine Geothermal Production Co. acquisition
SMIC has received the go-ahead from shareholders for the acquisition that will give 100% ownership of Philippine Geothermal Power Company.
The shareholders of SM Investments Corp. (SMIC) have approved the company’s acquisition of Philippine Geothermal Production Co. (PGPC). We had previously reported on this acquisition that will give 100% ownership of PGPC to SMIC.
PGPC operates the Tiwi and Mak-ban geothermal steam fields in the Philippines, both of which have been in operation since 1979 and have a combined capacity of 300 MWe. In addition to the producing steam fields, PGPC also holds concession rights to several greenfield sites in varying stages of development or exploration.
The shareholders of SMIC have also approved the merger of SMIC and AllFirst Equity Holdings. AllFirst is the holding company for PGPC. SMIC will be the surviving entity after the merger. The transaction is expected to be completed by the 3rd quarter of 2022.
“Our acquisition into PGPC reflects our commitment to sustainability, our strong support to promote clean energy and is aligned with our goals of environmental stewardship as a responsible company. This acquisition will further enhance our sustainability portfolio,” said SMIC President and CEO Frederic C. DyBuncio.
“This investment fits our portfolio investment criteria. Renewable energy is a growing sector in which PGPC has potential to be a leading player, has good synergies with the SM group, operates on high standards of good governance, and has a track record of responsible management.” DyBuncio added.
SM Investments Corporation is a leading Philippine company that is invested in market-leading businesses in retail, banking, and property. It also invests in ventures that capture high growth opportunities in the emerging Philippine economy.
Source: SM Investments Corporation