Alternergy Holdings Corp. has set the offer period of its P1.87 billion initial public offering (IPO) from March 13-17 this year.
Based on its IPO prospectus dated Feb. 14, the offer price will be set on March 7 while its Philippine Stock Exchange trading debut under the stock symbol “Alter” will be held on March 24.
Alternergy, founded and controlled by former Energy Secretary Vicente Perez, is raising funds to finance new solar projects and to pay down debts.
The company has 10 operating wind and solar project with a total capacity of 67.24 Megawatts.
It said another 62MW of hydro and solar projects were in more advanced stages of development while those under early development stages have the potential to reach a capacity of 1,240.22 MW, the prospectus showed.
Alternergy is selling as many as 1.26 billion shares or 32 percent of the firm at a maximum offer price of P1.48 each, valuing the company at P5.82 billion.
The shares were comprised of 1.15 billion primary common shares and an overallotment option for another 115 million primary common shares.
Since all the shares were classified as primary, proceeds will be used to finance expansion and pay for debts.
Specifically, proceeds will be used for the development and construction of the Solana Solar project and Lamut Hydro project, payment of debt on the acquired Kirahon Solar Energy Corp. and pre-development expenses of pipeline projects.
Alternergy booked losses from 2019 up to the first six months of 2022 during the development of projects. During the third quarter of last year, electricity revenues reached P43.59 million, the prospectus showed.
It booked a net income of P28.82 million compared to a P6.79 million loss during the same period in 2021, according to the document.
Alternergy tapped BDO Capital & Investment Corp. and Investment & Capital Corp. of the Philippines as joint issue managers and joint lead underwriters for the IPO while Unicaptial Inc. was tapped as co-lead underwriter.