Another solar energy firm taking shot at IPO magic
Solar energy company Raslag Corp. is launching an P805-million initial public offering (IPO) next month, hoping to ride the wave of interest in the sector amid Solar Philippines Nueva Ecija Corp.’s stock market surge.
Established in 2013, Raslag is led by Angeles City, Pampanga-based Peter G. Nepomuceno, described in the IPO prospectus as a visionary businessman with over six decades of experience in the power industry.
He is the the patriarch of the Nepomuceno family, whose business history dates back almost a century ago when they established the Angeles Ice Plant.
‘Light’
Raslag, derived from the Kapampangan word “aslag,” which means “light,” is raising money to finance its fourth solar plant dubbed Raslag-4, a 35-megawatt facility that is expected to be commercially operational by March 2024, and future projects.
Raslag is selling 350 million primary shares at up to P2 each to raise P700 million to fund its expansion.
Nepomuceno-led J Ten Equities Inc., the controlling shareholder of Raslag, is selling another 52.5 million shares to raise P105 million at the indicative offer price.
China Bank Capital Corp. was tapped as the IPO’s sole issue manager, underwriter and bookrunner.
Other projects
Based on the prospectus, the IPO shares will be priced on March 1 while the offer period will run from March 7 to March 18. Raslag is aiming to hold its Philippine Stock Exchange trading debut on March 28.
Raslag has two operational projects: Raslag-1 and Raslag-2, which have a combined capacity of over 23 MW.
The 18-MW Raslag-3 is currently under construction. The firm is also now laying the groundwork for the 60-MW Raslag-5.
Based on the prospectus, Raslag will deploy P30.44 million of the offer proceeds to pay the balance of land purchases made for Raslag-4.
Another P330 million will be used to finance its equity contribution for the P1.5-billion project cost of Raslag-4.
Raslag will deploy P250 million for predevelopment work for future solar projects.
This will include partial funding for the P2.1-billion Raslag-5, which will begin construction in the second quarter of 2024, with commercial operations targeted for March 2025.
