Alternergy braves choppy market, raises P1.6B from IPO

MANILA, Philippines  -Alternergy Holdings Corp. completed the country’s first initial public offering (IPO) in 2023, raising P1.6 billion which will be mainly used to expand its renewable energy footprint.

Founded and controlled by former Energy Secretary Vicente Pérez, the company sold 1.26 billion shares, or 32 percent to outside investors, for P1.28 per share.

The company, which trades under the stock symbol “ALTER” opened below the IPO price but recovered by the closing bell to end flat at P1.28 per share during its listing debut on Friday.

“As the first IPO for the year, Alternergy has once again proven to be a pioneer in joining the public equities market,” said Pérez, who is chair of Alternergy.

Perez said Alternergy’s public listing gathered foreign and local investors from all walks of life who have a shared goal of promoting sustainability investments.

In a statement, he also emphasized the wide base of investors that participated in the IPO.

“We have always been strong advocates for what we call the ‘green democratic capitalism’—giving every Filipino family, every young professional, every family office, the opportunity to participate in a renewable energy IPO and own a part of a green energy company,” he said in the statement.

Alternergy said on Friday it was ready to roll out two “shovel-ready” projects.

These are the Solana Solar Power Project in Hermosa, Bataan and the Lamut Run-of-River (ROR) Hydro Project in Lamut, Ifugao.

Moreover, the company will pursue “more aggressive predevelopment activities” for its other projects in the pipeline.

These include the Ibulao ROR Hydro Project, Tanay and Alabat Wind Projects and offshore wind projects.

Alternergy said a third of the IPO proceeds would be used to pay of liabilities in acquiring controlling stake in the existing Kirahon Solar Power Project.

“Our listing at the [Philippine Stock Exchange] is part of the continuing growth story of Alternergy,” Gerry Magbanua, president of Alternergy, said in the statement.

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