Citicore Renewable Energy Corp. (CREC) has secured shareholder approval for its planned merger with six subsidiaries to streamline operations.
In a disclosure on Monday, the listed renewable energy company confirmed stockholders’ approval of the consolidation, which will see CREC absorb the units and remain as the surviving entity.
“The Merger of CREC and the Constituent Companies, with CREC as the surviving entity was approved by the Board of Directors on March 9, and subsequently by the shareholders of CREC on April 27,” the company.
The merger involves Citicore Solar Holdings, Inc., Sikat Solar Holdco, Inc., Citicore Solar Tarlac 1, Inc., Citicore Solar Tarlac 2, Inc., Citicore Solar South Cotabato, Inc., and Citicore Solar Bulacan, Inc.—all wholly owned entities within the group.
CREC said the consolidation is intended to simplify its corporate structure and improve efficiency across subsidiaries that hold and manage solar assets under a single ownership group.
“It is deemed advisable to merge the seven companies, to achieve greater efficiency and economy in management and operations,” the company said.
The merger was first approved by the board on 9 March and now moves to the regulatory phase.
The transaction remains subject to approval by the Securities and Exchange Commission, as well as confirmation from the Philippine Competition Commission that it qualifies as an internal restructuring, if applicable.
CREC said key transaction details, including the share exchange ratio, number of shares to be issued, and implementation timeline, have yet to be finalized and will depend on the timing of regulatory clearances.
The company earlier said it may issue shares to itself as treasury shares in exchange for the shares it will receive from the absorbed entities as part of the merger process, although final figures are still being determined.