Coro Energy PLC (AIM:CORO) said it has increased its dividend entitlement as part of restructured arrangements with its partners in the Philippines ahead of the start of construction on two 100MW renewables projects in the country.
A 100MW solar project and a 100MW wind project are reported to be respectively six and 15 months away from achieving ready-to-build status, barring permit issues, with the company currently preparing to re-submit a wind service energy contract shortly after increasing capital to the subsidiary.
The new partnership agreement sees the AIM-listed company, which also has interests in Italy and Vietnam, entitled to 88% of the future dividends from the Philippines projects, up from 80% agreed before.
In exchange, Coro will issue £60,000 worth of shares to each of the two Philippines partners, who are also officers of the local subsidiary, meaning 20mln shares will be issued at a price of 0.3p – a 43% premium to the closing mid-market price on 24 January.
Half of these shares will be subject to lock-in restrictions until first power production and revenue on the first Philippines renewable energy project, with the remaining 50% subject to lock-in restrictions until first power production and revenue on the second Philippines renewable energy project.