The Securities and Exchange Commission (SEC) has approved the direct public offering (DPO) of La Union Electric Co. Inc. (LUECO), making it the second company to register under the regulator’s streamlined rules for power generation and electricity service providers.
The SEC, in an en banc meeting, cleared LUECO’s registration statement covering 2.35 million shares, subject to the company’s compliance with remaining requirements.
Under the offer, LUECO will sell up to 352,950 common shares to the public at P772 per share. The company expects to raise about P251.4 million in net proceeds, which will be used for capital expenditures, business expansion, and upgrades to its facilities and equipment.
The offering period is scheduled from January 12 to 16, with shares expected to be issued by February 6, based on the latest timetable submitted to the SEC.
The DPO complies with the Electric Power Industry Reform Act, which requires power generation companies to offer at least 15 percent of their common shares to the public. Penta Capital and Investment Corp. was named sole underwriter for the offer.
LUECO operates in the City of San Fernando and the municipalities of Bauang and San Juan in La Union. Its distribution network includes the Bauang and Poro substations, with rated capacities of 20 megavolt-amperes and 67.5 MVA, respectively, as of end-2024.
