Alternergy Holdings Corp. (ALTER) has sold a 40 percent stake in its Tanay and Alabat wind projects to ABC Energy Inc. for P2.4 billion, providing fresh capital to fund its renewable energy project pipeline.

In a disclosure on Thursday, ALTER said ABC Energy, the energy holding subsidiary of listed A Brown Company Inc., will acquire a 40 percent equity stake in Alternergy Tanay Wind Corp. (ATWC) and Alabat Wind Power Corp. (AWPC). 

Alternergy's wind holding company, Alternergy Wind Holdings Corp. (AWHC), will retain a 60 percent stake in both project companies.

“The parties mutually agreed to accelerate a partial closing ahead of commercial operation dates (COD) of Tanay and Alabat Projects — providing early project funding while establishing ABCI as a co-investor at an earlier stage. This early closing is a show of confidence in the execution of our Tanay and Alabat wind projects,” Alternergy said on Thursday.

Alternergy said the proceeds are in line with its strategy to recycle capital to fund its pipeline of wind, solar, run-of-river, and battery storage projects.

The companies also agreed to accelerate a partial closing of the transaction ahead of the COD of the Tanay and Alabat projects, instead of completing the full acquisition upon COD as originally planned.

The transaction remains subject to regulatory review and approval by relevant government agencies, including the Philippine Competition Commission.

Alternergy recently placed two new renewable power plants into commercial operation—the 28-MW Balsik Solar Power Plant in Bataan and the 5-megawatt (MW) Dupinga run-of-river hydro plant in Nueva Ecija. 

To date, construction of its 128 MW Tanay Wind and 64 MW Alabat Wind projects has reached about 80 percent completion.