MTerra Solar Expands with Actis-MGEN Partnership
Deal News | Mar 17, 2025 | Actis LLP
Actis LLP, a leading investor in sustainable infrastructure, has announced a significant investment in the renewable energy sector through a $600 million partnership with Meralco PowerGEN Corporation's subsidiary, MGreen, to develop MTerra Solar. This ambitious project, aiming for a total installed PV capacity of 3,500 MWp and BESS capacity of 4,500 MWh, is a strategic push towards accelerating the clean energy transition in the Philippines. Groundbreaking for MTerra Solar occurred in late 2024, with construction already underway and a targeted completion date in early 2026. The development aligns with the Philippines' national energy strategy of sourcing 35% of its energy from renewable resources by 2030. Financial advisory support for the project came from UBS AG Singapore, while legal and strategic advice was provided by international and domestic firms including Latham & Watkins, Picazo Law, Morgan Stanley, Milbank, and SyCip Law. This investment not only strengthens Actis's portfolio in clean energy but also bolsters the energy infrastructure in the Philippines, promising a resilient and sustainable future for the nation.
Sectors
- Renewable Energy
- Private Equity
Geography
- Philippines – The MTerra Solar project is situated in the Philippines, and the investment aligns with the national energy strategy of increasing renewable energy resources in the country to 35% by 2030.
- Global – Actis, as a global investor, brings international expertise and capital to the project, reflecting the global interconnectedness of energy infrastructure investments.
Industry
- Renewable Energy – The article centers on the development and expansion of renewable energy infrastructure in the Philippines through the MTerra Solar project, which involves significant investment in solar photovoltaic and battery energy storage systems.
- Private Equity – Actis, a private equity firm, is heavily involved as a financial partner and strategic investor in the MTerra Solar project, showcasing the role of private equity in financing large-scale sustainable infrastructure projects.
Financials
- US$600 million – Investment amount provided by Actis LLP for the development of MTerra Solar.
- PHP 150 billion – Committed project financing signed with a syndicate of the largest Philippine banks to support MTerra Solar.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Actis LLP | Investing Company | Company | A leading global investor in sustainable infrastructure, Actis LLP is providing financial and strategic support for the MTerra Solar project. |
| MGreen | Target Company | Company | The renewable energy arm of Meralco PowerGen Corporation is partnering with Actis for the MTerra Solar project. |
| Meralco PowerGen Corporation (MGEN) | Partnering Company | Company | A wholly-owned subsidiary of Manila Electric Company (Meralco), playing a key role in the development and execution of the MTerra Solar project. |
| UBS AG Singapore Branch | Financial Advisor | Company | Advised SPNEC on financial matters related to the MTerra Solar project. |
| Latham & Watkins | Legal Advisor | Company | Provided international legal counsel for MGreen and SPNEC. |
| Picazo Law | Legal Advisor | Company | Provided domestic legal counsel for MGreen and SPNEC. |
| Morgan Stanley | Financial Advisor | Company | Provided financial advisory services to Actis. |
| Milbank | Legal Advisor | Company | Provided international legal counsel to Actis. |
| SyCip Law | Legal Advisor | Company | Provided domestic legal counsel to Actis. |
| Ferdinand R. Marcos Jr. | Government | Person | President of the Philippines who led the groundbreaking ceremony for MTerra Solar in November 2024. |