(The Philippine Star) | Updated January 4, 2013 - 12:00am
MANILA, Philippines - Listed power producer Trans-Asia Oil and Energy Development Corp. spent P350 million to buy Holcim Philippines Inc.’s 50-percent share in a diesel power plant in Bulacan.
Trans-Asia will still pursue its long-term supply contract with listed cement maker Holcim, which is exiting the power business, a company official said.
“Trans-Asia has disbursed yesterday the amount of P350 million from the P1.627 billion gross proceeds of its 2012 stock rights offering,” the firm said in a disclosure.
“The disbursed funds shall be used to pay for Holcim’s 50 percent stake in Trans-Asia Power Generation Corp. (TAPGC),” it added. In November, Trans-Asia sold 1.627 billion shares to existing stockholders at P1 apiece to fund new power generation projects.
Joint venture firm TAPGC owns and operates a 52-megawatt (MW) diesel power plant in Norzagaray, Bulacan.
“The 52-MW plant will continue to trade in the Wholesale Electricity Spot Market and provide peaking power supply and ancillary services to contract customers of Trans-Asia,” said Giles Katigbak, investor relations officer of Trans-Asia’s parent firm Phinma Corp.
Katigbak assured that the company will continue supplying the electricity requirements of Holcim.
In August 2011, the two companies signed a 15-year electricity supply deal.
Starting late December, Katigbak said Trans-Asia “will supply power to Holcim from its portfolio of power plants under a new long -term electricity supply agreement.”
Under the agreement, Trans-Asia will supply the power requirements of Holcim’s cement plants in Bulacan and in Bacnotan, La Union starting on Dec. 26, 2013.
“Holcim’s divestiture from the power sector will allow it to focus on its core competency of cement manufacturing,” Katigbak said. source
No comments:
Post a Comment