AFTER raising P5.3 billion in funding from its initial public offering (IPO), Citicore Renewable Energy Corp. (CREC) may tap yet another fund raising exercise, this time a potential issuance under the sustainability-themed green bonds by next year.
Oliver Tan, CREC president, said the plan is in its initial stages with the company still gauging the possible pricing of such an issuance.
“Depending on the interest rate conditions, but most likely next year since we want to wait for a cut, for rates to go down,” Tan said.
CREC closed unchanged on its maiden trading day last Friday following a successful fund raising that attracted the interest from the United Kingdom’s MOBILIST program, an initiative by the British Investment Partnership to deliver assistance to support infrastructure development and green transmission in the Philippines and Southeast Asia.
MOBILIST has partnered with the Philippine Stock Exchange (PSE) to ensure greater investment in sustainable development in the Philippines through products listed on the PSE.
CREC is MOBILIST’s maiden IPO investment in the country focused on renewable energy transition.
CREC sold to the public 1.96 billion shares, divided into an initial 1.78 billion primary shares and another 178.57 million secondary shares to cover the greenshoe option, at an offer price of P2.70 per share.
“We are delighted with the outcome of CREC’s initial public offering – a testament to strong investor confidence in our vision, plans and projects,” said Edgar Saavedra, CREC chairman.
“Based on our experience, the IPO plays a significant role in shaping companies and our collaboration with the PSE and SEC (Securities and Exchange Commission) now extends to three companies — Megawide, CREIT, and CREC. The success of our latest listing motivates us to exceed expectations in fulfilling our commitment to regulators and investors,” he added.
Tan said the company is looking to build a 5,000 megawatts of renewable energy portfolio of varying source by 2028.
“With the investments made during the IPO, we have gained even more confidence in our ability to develop and expand our green energy portfolio. These investments are integral to the country’s transition to a cleaner form of power and our hope is to contribute to a more sustainable and affordable energy solution for all,” he said.
