Energy Development Corp. (EDC) secured from the Securities and Exchange Commission the Certificate of Permit to Offer Securities for Sale for the second tranche of the company’s fixed rate Asean green bonds amounting to a base issue size of P6 billion with a P4 billion oversubscription option.
EDC said the permit was secured last week for the Green Bonds priced at the lowest end of the range of 6.7478 percent, 6.8873 percent and 7.0626 percent for the three-year, five-year and seven-year series, respectively.
The bonds have been rated PRS Aaa with a stable outlook by the Philippine Rating Services Corp.
“This second tranche Asean green bonds will support the growth and resiliency of our renewable energy portfolio as we serve the growing economy’s increasing energy needs while pursuing the country’s decarbonization and net zero journey. This will be part of the P60-billion capital investment program that EDC is undertaking for its drilling operations program over the next three years and its renewable energy growth initiatives,” said Jerome Cainglet, EDC president and chief operating officer, in a statement.
Cainglet said the Green Bonds will partially fund the company’s geothermal and battery expansion projects as well as various resiliency and maintenance capital expenditure projects.
Offer period is set on May 13 to 17 with BDO Capital and Investment Corp. and BPI Capital Corp. appointed to act as joint issue managers.
BDO Capital, BPI Capital, China Bank Capital Corp. and SB Capital Investment
Corp. have been appointed as the joint lead underwriters and joint bookrunners with RCBC Trust Corp. and RCBC Capital Corp. serving as the trustee and the selling agent, respectively, for the transaction.
EDC operates a total of 1,464.5 megawatts of clean and renewable energy from geothermal, wind, hydro and solar technologies.
