SP New Energy Corp., a listed renewable energy company, is committed to complete its stock rights offering that will raise P2.82 billion in fresh equity to pursue various green energy projects and facilitate its proposed share-for-asset swap with Solar Philippines Power Project Holdings Inc.
Solar Philippines has various projects, including already operational or still under construction power stations with total capacity of 400 megaWatts, 3.5 gigaWatt solar, 4.5 gWh Terra Solar battery project that aims to supply Manila Electric Co., and 1.8 gW of projects contracted under the Department of Energy’s green auction.
SPNEC in September conducted a stock rights offer covering 1.88 billion shares, each priced at P1.50. Only 1.13 billion shares were fully paid while only a 25 percent down payment were collected on the remaining 748 million shares. The deadline for full payment was originally set on December 5 but has since been moved to March 5.
It said around 578.8 million shares remain partially paid. Full payment of those shares will raise an additional P651768,585 remaining partially paid SRO shares.
The completion of the payments for this number of shares by March 2023 may result in an additional P651 million to fund SPNEC’s ongoing project developments.
The company said it is willing to take up all the unpaid shares when the payment deadline expires in March.
The stock rights offer along with an earlier private placement were intended to keep the public float at 20 percent–a requirement of the Philippine Stock Exchange– even as the company issues 24.37 billion in additional stocks to Solar Philippines, which already owns 10 billion shares.
Even after the recent private placement, the public will still have to get their hands on 2.12 billion shares to add to the 4.75 billion it already holds to keep the public float at 20 percent.
SPNEC had earlier disclosed plans to a new private placement of shares to accelerate project development and complete the Solar Philippines deal.
