RE Firm Plans to Raise ₱2.18 Billion in IPO Listing

Alternergy Holdings Corp. has unveiled its plan to go public. The renewable energy firm recently filed for a ₱2.18 billion initial public offering (IPO) with the Securities and Exchange Commission (SEC). Alternergy is looking to sell 1.28 billion primary shares priced at ₱1.48 apiece. Through the IPO, the company hopes to finance a number of its projects in its pipeline.

Additionally, Alternergy will offer 192.2 million more shares should investor interest prove to be robust. Hence, the company is set to earn ₱2.18 billion, which includes the overallotment option. The company will allocate ₱1.81 billion of the net proceeds for various uses. This includes the construction of two renewable energy projects, shares acquisition, and pre-development expenses of other projects in its pipeline.

Currently, investor aversion is prominent within the market given the economic conditions locally and internationally. With this, companies have since set aside their arrangements to conduct IPOs and other fundraising plans. Nonetheless, Alternergy is eager to make its mark on the Philippines’ renewable energy sector. Even more so as the country continues to transition to more sustainable forms of energy.

The firm was among the first in the country to receive national government contracts for wind power. It secured the wind energy service contract for the Pililla Wind Farm in Rizal. Alternergy is also developing another project in Palau involving a solar photovoltaic and battery energy storage hybrid. Moreover, three of the company’s founding partners were involved in the development of the Bangui wind farm in Ilocos Norte. Among them is Vicente Perez, who served as Energy Secretary under the Arroyo administration.

The SEC projects Alternergy’s IPO to be on November 11 to 17. The company will then debut on the Philippine Stock Exchange later on November 25.

Source: PhilStar