Renewable energy developer Energy Development Corp. (EDC) has listed P10 billion in fixed rate ASEAN green bonds representing the second tranche of its P15-billion shelf registration at the Philippine Dealing and Exchange Corp. (PDEx).
An earlier P5 billion first tranche bonds were issued and listed on 25 June 2021.
The company said the latest issuance was more than seven times subscribed over its base issue size, allowing the EDC to exercise the oversubscription option and raise an additional P4 billion.
The second tranche bonds were priced at the lowest end of the credit spread range, fetching rates of 6.7478 percent, 6.8873 percent and 7.0626 percent for the three-year, five-year and seven-year series, respectively.
“As we are all feeling the past few weeks, the Philippines is experiencing dangerously high heat indices. This has led to a surge in electricity demand, particularly for cooling, which has significantly reduced our reserve levels and has put upward pressure on electricity prices,” said Jerome Cainglet, EDC president and chief operating officer, in a statement.
“We look forward to adding renewable energy capacity to address these and, through the green bonds, present the public with the opportunity to participate in financing clean and renewable energy projects in line with our company’s mission of forging collaborative pathways for a decarbonized and regenerative future,” Cainglet added.
EDC is the largest pure renewable energy company in the Philippines operating 1,170 megawatts (MW) of geothermal, 150 MW of wind, 132 MW of hydroelectric and 12 MW of solar power plants for a total of 1,464 MW of clean and renewable energy.
EDC accounts for 18 percent of the country’s installed renewable energy capacity and 60 percent of the installed geothermal capacity, based on installed capacity figures published in the DOE 2003-2022 power statistics report.
