Yuchengco-led PetroEnergy Resources Corp. (PERC) has secured Philippine Competition Commission (PCC) approval for its planned acquisition of the remaining 40 percent stake in PetroWind Energy Inc. (PWEI), clearing a key regulatory hurdle for the deal to proceed.

In a disclosure on Wednesday, PERC said the PCC approved its acquisition of the 40 percent stake held by BCPG Wind Cooperatief U.A. (BCPG) and confirmed that the parties may proceed with the transaction.

The clearance satisfies the regulatory approval required under the Share Purchase Agreement. PERC said it will disclose once the transaction is completed.

The deal, announced last year, is part of PERC’s plan to simplify its ownership structure and increase its economic interest in its renewable energy portfolio.

Once completed, PERC’s effective stake in PWEI will increase to 90 percent, consisting of a 60 percent direct interest and a 30 percent indirect stake through its 75 percent-owned subsidiary, PetroGreen Energy Corp. 

It currently holds an effective 50 percent stake in PWEI. The transaction value was not disclosed.

“The transaction represents the acquisition of the remaining non-controlling interest in PWEI and will not result in a change in control or consolidation status. The acquisition is consistent with PERC’s strategy to simplify its ownership structure and increase its direct economic participation in its renewable energy portfolio,” PERC said.

The PCC said it will issue the full decision and a certification of clearance separately.