ABOITIZ Power Corp. (APC) remains optimistic to complete the sale and takeover of the 175-megawatt (MW) Ambuklao-Binga hydroelectric plant before the end of next month.

“We hope to conclude or take over the plant by the end of June. By then, we would have to pay the purchase price of $325 million, and I think we will be able to conclude our financing by then. We will be paying in full,” Erramon I. Aboitiz, APC president and chief executive, told reporters.

The APC official said the company may tap the same lenders commissioned for the 360-MW Magat hydroelectric power plant. They include a consortium of local banks, a Nordic investment bank and the World Bank-owned International Finance Corp. (IFC).

Aboitiz said they plan to finance the acquisition cost using 30-percent equity and 70-percent debt.

The company executive also revealed that a plant upgrade project, which would cost around $200 million, forms part of the loan facility.

IFC lent APC $105 million to support its privatization bid of $530 million for the 360-megawatt Magat hydroelectric plant.

In a related development, Aboitiz said they are also looking at participating in the June 27 bidding for the 289-MW Tiwi Geothermal Power Plant in Albay and the 458.53-MW MakBan Geothermal Power Plant situated in Laguna and Batangas provinces.

He further noted that they would be interested in bidding for Angat should the government, through the Power Sector Assets and Liabilities Management Corp., decides to bid it out.

Aboitiz said their balance sheet is in a very good position to be able to borrow from institutional lenders.

“Right now, we still have cash in our balance sheet amounting to $260 million. Our whole strategy is to deploy those funds first and once we have exhausted that, then we will raise some more money via the debt market,” said Aboitiz.

BACNOTAN Consolidated Industries Inc. is putting up a business-process outsourcing (BPO) venture this year, saying it’s not yet late in the game for them to enter this field.

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FILIPINOS how have an alternative to carbonated drinks, caffeinated beverages and sugar-laden fruit juices. Sydenham Laboratories Inc. (SLI), a domestic pharmaceutical firm, launched its newest product called Peak.

HOPING to further harness the water resources to generate power in the country, Aboitiz-owned Hydroelectric Development Corp. (Hedcor) is currently looking at several potential areas for development in southern Mindanao and in Benguet. 

ABOITIZ Power Corp. (APC) remains optimistic to complete the sale and takeover of the 175-megawatt (MW) Ambuklao-Binga hydroelectric plant before the end of next month.

THE Securities and Exchange Commission has approved SM Prime Holding’s proposed issuance of 912.89 million common shares to the two holding companies owned by the Sy family in exchange for full ownership in the three malls in China.

It’s a seller’s market here for genetically modified yellow corn seeds. Right now, there’s a gap of 800,000 metric tons that multinational producers such as Monsanto, Pioneer, Syngenta cannot immediately fill. Part of the problem is that it takes a year- and-a-half to make the order.