Philippines’ First Gen to Buy Into Hydropower Business for $1.3 Billion

February 14, 2026 - 05:59

In a landmark deal for the Philippine energy sector, First Gen Corporation has announced a strategic move to significantly bolster its renewable energy assets. The company will acquire a 40% ownership stake in the hydropower portfolio held by Prime Infrastructure Capital Inc.

The transaction, valued at a substantial 75 billion pesos (approximately $1.3 billion), marks a major consolidation within the country's clean power industry. This acquisition diversifies First Gen's already considerable renewable energy generation, which has historically been anchored in geothermal and solar power.

The purchased portfolio includes several key hydropower facilities, such as the 120-megawatt Casecnan and the 165-megawatt Pantabangan-Masiway plants. These assets provide critical baseload power, complementing the variable output of other renewable sources like wind and solar. Industry analysts view the purchase as a forward-looking investment in stable, low-carbon electricity generation.

This partnership between two major Filipino firms underscores a strong domestic commitment to energy security and a sustainable transition. By integrating hydropower into its operations, First Gen strengthens its position as a leading provider of clean energy in the Philippines, aiming to meet rising demand while supporting national decarbonization goals. The deal is expected to undergo standard regulatory approvals before finalization.