Aboitiz Power Corporation to Acquire 25% equity stake in Van Phong Power Company Limited

The Van Phong 1 BOT coal-fired power plant in Khanh Hoa province, central Vietnam. Photo courtesy of Van Phong Power Company Limited / https://theinvestor.vn/japans-sumitomo-eyes-lng-power-plant-in-central-vietnam-d16614.html

In a PSE disclosure dated October 30, 2025, Aboitiz Power Corporation (“AboitizPower” or the “Company”) announced that it will acquire a 25% equity stake in Van Phong Power Company Limited (“VPCL”) from Sumitomo Corporation (the “Subject Capital”). VPCL owns an operational 1,320 MW high-efficiency, low-emission (HELE) coal-fired power plant in Khánh Hòa Province, Vietnam.

​On October 29, 2025, the parties have executed all agreements relating to the sale and purchase of the Subject Capital, subject to closing conditions, including an application process pending before the Government of Vietnam.
 
The Van Phong power plant, which commenced commercial operations in January 2024, operates under a 25-year power purchase agreement with Vietnam's national utility, Vietnam Electricity (EVN). Van Phong 1 Coal-Fired Power Plant is designed to supply about 8.5 billion kWh per year to the national grid, equivalent to around 4% of Vietnam's annual gross power generation. This is the largest foreign-invested project in the Van Phong Special Economic Zone in the Khanh Hoa province.

With this venture, AboitizPower remains on track to deliver sustainable returns to its shareholders, maintaining a well-balanced portfolio of energy technologies. This investment is in parallel with the Company’s renewable investment program and is aligned with our aspiration to ensure a balanced long-term energy transition, contributing to reliable and affordable energy systems.

The full transfer of the Subject Capital is expected to occur sometime during Fiscal Year (FY) 2026 or thereafter.

The total consideration for the acquisition of the Subject Capital is less than 10% of AboitizPower’s consolidated assets as of December 31, 2024.
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The terms and conditions of the transaction:
 
Percentage to the total outstanding shares of the company subject of the transaction: 25%
 
Total Payment Price of approximately USD$ 220,000,000.00.
 
VPCL is a Single-Member Limited Liability Company; as such, the Subject Capital to be acquired is not represented by shares of stock (as they would be in a regular corporation).
 
VPCL is a wholly-owned subsidiary of Sumitomo Corporation. It is the owner-operator of the 1,320 MW HELE coal-fired power plant in Khánh Hòa Province, Vietnam.