Citicore Renewable files for P12.9-b IPO
By Jenniffer B. Austria – December 18, 2023, 9:50 pm
from manilastandard.net
Citicore Renewable Energy Corp. (CREC), one of the country’s major solar power producers, plans to raise up to P12.9 billion from an initial public offering in the first quarter of 2024.
CREC said in a filing with the Securities and Exchange Commission it planned to offer up to 2.9 billion common shares with an over-allotment option for another 435 million common shares at P3.88 apiece.
It said it would use the net proceeds from the offering to fund solar energy projects and battery energy storage systems in the pipeline.
CREC has installed capacity of 285.1 megawatts (MW) accounting for 19 percent of country’s renewable capacity of 1.5 gigawatts.
The company has a pipeline of renewable greenfield energy projects with a gross capacity of 6,446 MW in solar power generation and 812.5MW in onshore wind power generation in various stages of development.
CREC agreed in November to acquire the 100-percent stake in Rio Norte Hydropower Corp., which is building a run-of-river hydro project with a gross installed capacity of 25.7 MW in Isabela province.
The acquisition is expected to be completed by January 2024.
CREC said over the next couple of years, it expected its capital expenditures to increase significantly to fund the commissioning of projects awarded to the company under the Green Energy Auction Program 2 and invest in other renewable energy technologies.
It aims to contribute about 1 GW of solar energy capacity annually over the course of 2023 to 2027, contributing to the national targets of increasing renewable energy capacity in the energy mix.
It said it would launch the offering on March 4 to March 8, 2024.
The shares will be listed in the main board of the Philippine Stock Exchange on March 15, 2024, subject to regulatory approvals.
CREC tapped BDO Capital and Investments Corp. and UBS as the joint book runners for the offering.
CREC is a leading pure-play renewable energy platform focused on and committed to the development and operation of solar, hydro and wind projects in the Philippines.
It is also the sponsor of the Philippine’s first renewable energy real estate investment trust—Citicore Energy REIT.
