Pure Energy Holdings Corp. (PEHC) subsidiary NexGen Energy Corp. is in talks with environmental, social and governance (ESG) equity funds to help it finance renewable energy expansion programs.
“The company is in discussions with several international ESG funds and we are open to discussions with government-owned and controlled corporations,” said Eric Roxas, NexGen president, in a statement.
NexGen has sought Philippine Stock Exchange approval to list 300,000,000 of its shares in an initial public offering (IPO) with provisions for an over-allotment option of 45,000,000 shares at P1.68 per share.
It plans using the proceeds to partially finance the development of the 5-megawatt Palauig 2 solar plant in Palauig, Zambales and some of the funds as equity.
NexGen estimates requiring P210 million as construction cost for the Palauig 2 solar plant whose service contract awaits Department of Energy (DOE) approval.
NexGen will also use the proceeds to partially finance equity at the 100-MW Silang Maragondon onshore wind power facility in Quezon Province and the 40-MW Asisan onshore wind plant in Cavite.
The Silang Maragondon project is seen costing P5.854 billion but has already secured a wind energy service contract (WESC). The Asisan wind farm will cost another P2.341 billion and has a service contract of its own.
The business targets to develop 1,683 MW of ground mounted and floating solar as well as onshore and offshore wind projects over the next five years.
“NEXGEN also believes that climate controlled indoor farms will be the next-generation farming technology and NEXGEN would like to be at the forefront of supporting the power requirements of these projects,” Roxas said.
NEXGEN, he said, has a dedicated management team focused on growing its footprint both locally and abroad.
“The successful listing of its affiliate REDC is a testament to the confidence of its shareholders and investors,” Roxas said.
