MGEN targets growth via public share sale

Meralco PowerGen Corp. (MGEN), the power generation arm of Manila Electric Co., is preparing to consolidate its renewable energy (RE) assets as part of a plan to raise funds and fuel expansion, with a potential public share sale in 2027.

In a chance interview, MGEN president and CEO Emmanuel V. Rubio said the company will first transfer its renewable assets outside of Terra Solar to SP New Energy Corp. and MGEN Renewable Energy Inc. (MGreen), creating a larger, combined entity.

Once the consolidation is complete, MGEN plans to offer shares to the public, generating additional funding to strengthen both SPNEC and MGreen and scale up operations.

Secondary offer eyed

“We will re-offer shares to the public to raise a bit of money for SPNEC and MGreen. Because it will be a much bigger company by then,” Rubio said.

MGEN, through its Terra Solar Philippines Inc., recently completed the initial grid synchronization and energization of the MTerra Solar project, connecting the facility to the Luzon grid and enabling power exports.

Phase 1 has reached 1,288 megawatts of installed solar photovoltaic capacity and 622 battery energy storage units, making it the largest solar and battery installation in the Philippines once fully completed.

Phase 2 construction is underway, with MTerra Solar targeting 250 megawatts alternating current of solar capacity and 112.5 megawatt-hours of storage by end-February.

The project is expected to begin exporting 85 megawatts of continuous power in coordination with National Grid Corporation of the Philippines and is projected to become the world’s largest integrated solar photovoltaic and battery energy storage facility, covering roughly 10 percent of Luzon’s power demand.