Gentlemen:
This refers to your letter requesting us to confirm the veracity of the information contained in the philSTAR news article dated November 7, 2021 entitled “AboitizPower to tap debt market”, the relevant portion of which is quoted hereunder:
‘We’re not just looking at green bonds. We’re also looking at sustainability bond which is a similar concept. Depending on which assets were looking at, we’re trying to see which one works,’ he said.
For dollar-denominated funding, AboitizPower is targeting a green bond issuance, Lozano said.
‘This is the most important point. If we do issue green bonds, it’s because we’re raising money for our RE initiatives. So, we’re not doing it for face value. We will do green bonds because we will be using that money to grow our extensive pipeline that (AboitizPower president and CEO Emmanuel) Manny (Rubio) and the team have put together,’ he said.
AboitizPower aims to double its attributable net sellable capacity to 9,200 megawatts (MW) by 2030.
. . . .
In the next 10 years, it plans to spend a whopping P190 billion to build 3,700 MW under its Cleanergy portfolio.
. . . .
AboitizPower is also looking at using the coal phase out framework offered by the Asian Development Bank (ADB) and the International Finance Corp. (IFC), the World Bank’s private lending arm.
‘We’re also looking at the framework that the ADB, IFC are actually offering. (It’s still) very early days but we believe we have candidate plants that will comply and a counter to that, as they’ve disclosed, a discounted, cheaper debt for renewable energy, the buying out of coal and providing cheaper financing to finance the alternative to replace that capacity. That’s something we’re looking forward to,’ Rubio said.
. . . .”
We confirm that the statements made by Mr. Manuel R. Lozano, Aboitiz Equity Ventures Inc.'s (AEV) CFO, is aligned with the plans to fund and implement AboitizPower's goal to double its attributable net sellable capacity to 9,200 MW by 2030.
However, as Mr. Rubio, AboitizPower's President and CEO, stated in the same article, these plans are still at the very early stages of planning and development, and still pending the necessary internal evaluation and approvals. The Company is still evaluating which among the funding streams will be suitable for the Company's long-term plans and risk appetite.
We will make the required disclosures to the public as and when there are material concrete developments to the Company's projects.
Very truly yours,
ABOITIZ POWER CORPORATION By:
(SGD.) MAILENE M. DE LA TORRE Assistant Corporate Secretary
Cc:
PHILIPPINE DEALING & EXCHANGE CORP. Market Regulatory Services Group 29th Floor BDO Equitable Tower 8751 Paseo de Roxas, Makati City 1226
ATTENTION: ATTY. MARIE ROSE M. MAGALLEN-LIRIO Head – Issuer Compliance and Disclosures Department |