Cosco Capital Inc. said Thursday its board approved a plan to acquire all the outstanding shares of Matuno River Development Corp., a move that expands the listed company’s investment in the renewable energy sector.
The planned acquisition, whose financial details weren’t immediately disclosed, is aligned with Cosco’s commitment to sustainability and environmental responsibility as well as its goal to contribute to the country’s economic growth.
Matuno,established in 2014, is the developer of the Matuno River Hydroelectric Power Plant located in Bambang, Nueva Vizcaya. The run-of-river hydroelectric facility boasts of an 8.66 megaWatt capacity and operates under a Hydro Power Service Contract with the Department of Energy. The plant harnesses energy from the Matuno River, a key tributary of the Magat Dam.
Cosco said the acquisition price is a 10 percent discount to the book value of Matuno at the end of March.
The listed investment holding company intends to seek approval for this acquisition from the Philippine Competition Commission, where applicable, ensuring compliance with regulatory standards.
The acquisition marks a significant addition to Cosco’s burgeoning portfolio in renewable energy, enhancing its income generation potential and reinforcing its commitment to sustainable business practices.
