Global investment firm Actis Rubyred (Singapore) Pte. Ltd. has finalized the acquisition of a 40% stake in Terra Solar Philippines Inc. (MTerra Solar) for approximately $600 million, marking the largest foreign direct investment in a single greenfield infrastructure project in the country.
The deal was confirmed by Emmanuel V. Rubio, president and CEO of Meralco PowerGen Corp. (MGEN) and SP New Energy Corp. (SPNEC), which hold ownership in MTerra Solar. Rubio emphasized that the investment provides critical capital to advance the development of what is projected to be the world’s largest solar and battery storage facility.
Strengthening the Philippines’ Renewable Energy Sector
MTerra Solar, a subsidiary of MGEN Renewable Energy Inc. (MGreen) under MGEN, aims to deliver 3,500 megawatts peak (MWp) of installed solar capacity and 4,500 megawatt-hours (MWh) of battery energy storage. The project aligns with the country’s Renewable Portfolio Standards (RPS) program, having already secured an 850-MW contracted capacity for a 20-year period.
“With MTerra Solar, we are reinforcing our commitment to delivering reliable, sustainable, and cost-effective energy solutions,” Rubio stated. “This collaboration with Actis and MGEN strengthens our ability to meet the country’s growing energy demand while advancing a greener and more resilient energy future.”
Actis Sees MTerra Solar as a Milestone in Southeast Asia’s Energy Transition
Actis, a leading global investor in sustainable infrastructure, highlighted the significance of the partnership in accelerating renewable energy development in the region.
“MTerra Solar is a marker of what’s possible regarding scale and ambition with renewable energy in Southeast Asia. It represents the largest such project in this fast-growing region, and we’re delighted to be partnering with MGEN and MGreen to deliver this critical project and accelerate the Philippines’ energy transition,” said Rahul Agrawal, partner and head of energy for Southeast Asia at Actis.
Project Development and Financial Backing
The MTerra Solar project broke ground in November 2024 and has since achieved significant progress. Phase 1 land acquisition has been completed, and engineering, procurement, and construction (EPC) contracts have been awarded.
Additionally, construction of transmission lines is on track for completion by late 2025. To support the project’s development, a syndicate of the country’s largest banks has committed P150 billion in project financing.
The MTerra Solar project is expected to be a key driver of the Philippines’ renewable energy transition, reinforcing the country’s commitment to sustainable power infrastructure.
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