Key points:

Shareholders will vote on August 11 on the proposed sale of the 6.4 MWp San Isidro solar park, but the AGM notice does not disclose the buyer or proposed sale price.

It would be MPCCEL’s second disposal after Paradise Park, yet Class B shareholders are still awaiting distributions from that earlier sale.

Converting the US$10-million note into shares substantially reduced leverage while the JSE-listed shares remain down 36 per cent for 2026.

MPC Caribbean Clean Energy Limited (MPCCEL) shareholders will vote next month on the proposed sale of the San Isidro solar park in El Salvador, although the company has not disclosed the buyer or sale price.

The August 11 annual general meeting (AGM) agenda includes a resolution seeking approval to sell all shares held in San Isidro Fotovoltaica S.A. de C.V. and authorise the directors to complete the transaction. The virtual meeting begins at 9:00 am Jamaica time. Shareholders will also receive an update on the company’s strategic direction.

MPCCEL is an investment vehicle that owns renewable energy assets across Latin America and the Caribbean. It acquired the 6.4 MWp San Isidro solar park in February 2021, following a total investment of approximately US$7.8 million. The facility generated 11.3 GWh in 2025 and sold electricity for US12.4 cents per kilowatt-hour. MPCCEL valued its interest in MPC Renewables Central America and Caribbean S.A. at US$3.71 million in its 2025 financial statements.

The San Isidro transaction would represent MPCCEL’s second asset sale after it disposed of its interest in the Paradise Park solar farm in Westmoreland for US$5.87 million in April 2025. InterEnergy Group paid US$18 million to acquire the entire solar park.

A sale would leave MPCCEL with interests in the 21 MW Tilawind wind farm in Costa Rica, and the 76 MWp Monte Plata solar project in the Dominican Republic.

MPCCEL has not distributed any of the Paradise Park proceeds to its class B shareholders. Chairman Fernando Zúñiga said in the company’s 2025 quarterly reports that manager MPC Renewables Panama S.A. was assessing how much could be distributed from the sale and from other operating projects.

MPCCEL said in its 2025 annual report that it had completed its main investment phase and was focusing on managing the remaining assets efficiently to generate stable and predictable cash flow for shareholders.

“After maintaining appropriate liquidity reserves to meet operating requirements and contingencies, the company intends to distribute up to 100 per cent of net distributions received to shareholders,” MPCCEL’s 2025 annual report stated.

MPCCEL converted its US$10-million promissory note into 10 million class B shares at the end of June. That resulted in RBC Trust (Trinidad & Tobago) Limited becoming the largest class B shareholder with 27.06 per cent ownership. Those new shares were listed in early July on the Jamaica Stock Exchange (JSE) and Trinidad & Tobago Stock Exchange (TTSE).

If its other liabilities were unchanged from March 31, conversion of the note would have reduced MPCCEL’s total liabilities from US$10.06 million to approximately US$63,000.

This is minute compared to its US$4.91 million in cash and US$31.28 million in total assets at the end of March 2026. Net assets attributable to class B owners should be US$31.22 million.

MPCCEL’s proposed exit from San Isidro comes as related company MPC Energy Solutions N.V. (MPCES) also divests assets in Central America. MPCES shareholders voted unanimously on December 12 to approve the sale of the 21.3 MW El Salvador solar assets and the 66.1 MWp San Patricio Renovables SA solar plant in Guatemala, for US$27.1 million, to Ampiria Energy.

That move to sell those assets also coincides with MPCES’s move to sell its 30MW solar project in El Salvador to MPC Capital. MPCES shelved its plans to develop a 72.5 MW solar photovoltaic (PV) farm in Clarendon, Jamaica, during 2025. It wrote off the US$368,000 in right-of-use-asset related to the lease which was executed by Acacia Solar Park Limited.

MPCCEL’s share price remains down 36 per cent year to date (YTD) on the JSE as it closed Monday at J$29.90 and US$0.20 with a market capitalisation of US$7.39 million. The stock has not traded during 2026 on the TTSE as the share price remains at US$0.98 with a market capitalisation of US$36.21 million. The company’s second-quarter report is due by August 14.