SPNEC plans to absorb parent firm’s projects to boost portfolio

Newly listed Solar Philippines Nueva Ecija Corp. (SPNEC) is preparing for an asset-for-share swap with parent firm Solar Philippines in order to expand its project portfolio.

To do this, SPNEC has approved to increase its authorized capital stock to 50 billion shares from 10 billion shares, subject to stockholder and regulatory approvals.

The increase comes in light of strong investor interest in SPNEC, which had a trading value of over P5 billion over the last month. It was the Philippine Stock Exchange’s best performing initial public offering of 2021, closing the year up 28 percent.

“We are thankful for the level of interest in SPNEC, even as a single preoperating project,” said Solar Philippines founder Leandro Leviste. “At the same time, we note the feedback that adding our already operating or contracted projects would make SPNEC even more attractive. We wish to take this opportunity to give our public stakeholders this option, in the interest of advancing SPNEC’s value and profitability.”

The parent firm has developed a pipeline of over 10 gigawatts of solar projects. These include 63 megawatts in Batangas in partnership with Korea Electric Power Corp., which is already operational; 340 MW in Tarlac, Batangas and Cavite together with Razon Group’s Prime Infra, some of which are already operating; and several projects with SM malls. INQ