Fist Gen Corporation has signed term loan agreements worth P20 billion with lenders BDO Unibank Inc. and Bank of the Philippine Islands (BPI).

First Gen intends to use the proceeds from the loans as funding for its growth projects, including the acquisition of the 165-megawatt Casecnan Hydroelectric Power Plant (CHEPP), and for other general corporate requirements of the company.

“We are honored by and grateful for the confidence that the lenders have placed in First Gen. The fresh financing will be used to fund the acquisition of CHEPP, which is vital to our transition towards a decarbonized and regenerative future,” said Emmanuel Singson, First Gen chief financial officer.

“We at BDO remain committed to a sustainable future as we provide access to capital to renewable energy projects which BDO considers as a priority sector in financing. First Gen will help in power generation in the community as it uplifts the lives of Filipinos while protecting the environment. Looking forward to a robust and longer-term business relationship with First Gen,” stated Charles Rodriguez, executive vice president and group head for the institutional banking group of BDO.

“BPI is committed to promoting sustainability and is always eager to support our clients’ sustainability initiatives. We are glad to have done so by providing First Gen with more innovative financial solutions and improve the quality of life in the communities First Gen operates in and in the communities it serves. This forms part of our vision to build a better Philippines—one family, one community at a time,” said Juan Carlos Syquia, BPI executive vice president and institutional banking head.

CHEPP is a run-of-river type of power facility located in Pantabangan, Nueva Ecija. On May 26, 2023, Fresh River Lakes Corporation, a wholly owned subsidiary of First Gen, was declared by the Power Sector Assets and Liabilities Management Corporation as the winning bidder for the sale of CHEPP.