MPC Caribbean Clean En­er­gy Ltd (MPC­CEL), which is list­ed on the T&T and Ja­maica stock ex­changes, has an­nounced the suc­cess­ful com­ple­tion of its strate­gic re­or­gan­i­sa­tion, which was ap­proved by its share­hold­ers in May 2023.

De­scrib­ing the move as "a sig­nif­i­cant mile­stone," MPC Caribbean said the pri­ma­ry ob­jec­tive of the move is to sim­pli­fy the or­gan­i­sa­tion's frame­work and mit­i­gate ad­min­is­tra­tive costs.

In ad­di­tion, the com­pa­ny said the re­or­gan­i­sa­tion re­in­forces its cor­po­rate gov­er­nance by ap­point­ing an ad­di­tion­al in­de­pen­dent di­rec­tor, there­by fos­ter­ing a more ro­bust gov­er­nance struc­ture. The lean­er, more ef­fi­cient struc­ture is an­tic­i­pat­ed to yield a re­duc­tion in an­nu­al op­er­at­ing ex­pens­es of up to 25 per cent.

Fer­nan­do Zúñi­ga, chair­man of the com­pa­ny's board, em­pha­sised the crit­i­cal im­por­tance of this re­struc­tur­ing for the com­pa­ny's out­look, stat­ing, "This strate­gic re­or­gan­i­sa­tion marks a piv­otal mo­ment for MPC Caribbean Clean En­er­gy, un­der­scor­ing our com­mit­ment to op­ti­miz­ing our op­er­a­tions and en­hanc­ing share­hold­er val­ue. By sim­pli­fy­ing our or­gan­i­sa­tion­al ar­chi­tec­ture, we are bet­ter po­si­tioned to nav­i­gate the evolv­ing land­scape of the Caribbean's re­new­able en­er­gy mar­ket."

As part of the re­struc­tur­ing, all as­sets pre­vi­ous­ly held by the MPC Caribbean Clean En­er­gy Fund LLC (MPC­CEF or the Fund) have been trans­ferred to MPC­CEL, con­sol­i­dat­ing full own­er­ship of the Fund's in­ter­ests in re­new­able en­er­gy projects and op­er­at­ing as­sets across the Caribbean and Cen­tral Amer­i­ca.

In a news re­lease, MPC­CEL said the re­align­ment rep­re­sents a change in le­gal struc­ture while main­tain­ing con­ti­nu­ity in ben­e­fi­cial own­er­ship, there­by elim­i­nat­ing one in­ter­me­di­ate lay­er with­in the cor­po­rate hi­er­ar­chy.

Since its in­cep­tion in 2019, MPC Caribbean Clean En­er­gy has been at the fore­front of clean en­er­gy in­vest­ment, pi­o­neer­ing as the first pub­licly list­ed com­pa­ny in Ja­maica and Trinidad and To­ba­go ded­i­cat­ed sole­ly to clean en­er­gy in­vest­ments across the Caribbean Basin and se­lect Cen­tral Amer­i­can na­tions, the com­pa­ny said.

The re­cent com­ple­tion of the Fund's cap­i­tal rais­ing and in­vest­ment phase in 2023 fur­ther un­der­scores the com­pa­ny's com­mit­ment to ad­vanc­ing sus­tain­able en­er­gy so­lu­tions in the re­gion.

The 14.31 per cent block of shares in the MPC Caribbean Clean En­er­gy Fund LLC for­mer­ly held by MPC Cap­i­tal AG was trans­ferred to MPC­CEL in ex­change for ad­di­tion­al Class B shares is­sued by the list­ed com­pa­ny. This swap in­creased MPC Cap­i­tal AG’s in­di­rect stake in MPC­CEL from cur­rent­ly 3.19 per cent to ap­prox­i­mate­ly 22.2 per cent, ul­ti­mate­ly be­com­ing one of its Top 3 share­hold­ers.

The ex­ist­ing Class B share­hold­ers were not di­lut­ed from the is­suance of the ad­di­tion­al Class B Shares to a nom­i­nee of MPC Cap­i­tal AG.

MPC­CEL op­er­ates a so­lar farm in Ja­maica, an on-shore wind farm in Cos­ta Ri­ca and a so­lar farm in Cos­ta Ri­ca. It ac­quired a ma­jor­i­ty stake in a Do­mini­can Re­pub­lic in 2021