Alternergy to raise P1.6B in year’s first IPO
Alternergy Holdings Corp., which is in course to hold the first initial public offering (IPO) in 2023, reduced the total offer size to P1.6 billion after pricing the shares at a 13.5-percent discount.
A regulatory filing on Wednesday said Alternergy’s IPO shares would be sold for P1.28 each, lower than then maximum indicative price of P1.48 per share.
Alternergy, founded and controlled by former Energy Secretary Vicente Perez, is raising funds to finance new solar projects and to pay down debts.
Alternergy is selling as many as 1.26 billion shares or 32 percent of the firm.
It was unclear whether the company would revise the target offer period from March 13 to 17 this year.
Computer and IT equipment retailer Upson International Corp. recently pushed back its P5.4 billion IPO by two weeks to April 3 after volatile market conditions erased most gains from the January 2023 rally.
Based on its latest prospects, Alternergy plans to make its Philippine Stock Exchange trading debut under the stock symbol “ALTER” on March 24.
The company has 10 operating wind and solar project with a total capacity of 67.24 megawatts (MW).
It said another 62 MW 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.
The shares were comprised of 1.15 billion primary common shares and an overallotment option for another 115 million primary common shares.
The company said 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 predevelopment 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.
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