The June IPO of Citicore Renewable Energy Corp. (CREC) worth 5.3 billion pesos has thrust its chairman, Edgar Saavedra, back into the ranks of the Philippines’ richest individuals after a four-year hiatus. CREC is a leading solar power producer in the country and is set to undergo a massive expansion, with plans to increase its solar power capacity to 5,000 megawatts over the next five years, up from its current 285 megawatts. Saavedra, who comes from a construction background, aims to build this expansion independently to reduce reliance on third-party contracts, which became challenging during the Covid-19 pandemic. He views this as a natural progression of their construction expertise.
In addition to his involvement in the renewable energy sector, Saavedra is also focusing on growing his property portfolio through Megawide Construction’s PH1 World Developers unit. The company plans to launch two to three residential projects annually, with Saavedra aiming to expand the unit’s landbank to 200 hectares by 2027 from the current 50 hectares. He also expressed intentions to list the unit within the next three years.
Saavedra, who holds majority stakes in both CREC and Megawide, dropped off the list of the Philippines’ richest individuals in 2020 due to the impact of the pandemic on the construction business and his Cebu-Mactan airport joint venture. However, he managed to rebound with the successful IPO of CREC and the strategic growth plans for his other business ventures. He also revealed that he had acquired his college friend Michael Cosiquien’s stake in Megawide, who has also made a return to the list of the richest individuals in the country this year.
The IPO and expansion plans of CREC signal a significant development in the renewable energy sector in the Philippines, positioning Saavedra as a key player in driving the country’s shift towards sustainable and clean energy sources. With ambitious goals for both CREC and Megawide Construction’s property development unit, Saavedra’s businesses are poised for substantial growth in the coming years. The resurgence of Saavedra and Cosiquien on the list of the Philippines’ richest individuals showcases their resilience and strategic vision amidst challenging economic conditions.
Overall, Saavedra’s entrepreneurial journey reflects a blend of innovation, adaptability, and forward-thinking strategies that have enabled him to navigate through the ups and downs of the business landscape. His commitment to sustainability and growth in the renewable energy and property development sectors underscores a broader trend towards environmental consciousness and urban development in the Philippines. As he continues to spearhead these ventures, Saavedra is likely to play a pivotal role in shaping the future of the country’s energy and real estate industries.
