By GDM Staff

 
Solar Philippines Nueva Ecija Corporation (SPNEC) said it is targeting to complete the development of 10 GW of solar projects with the help of the capital markets by raising P10 billion.
 
The amount will be raised through a Stock Rights Offering (SRO) where eligible stockholders would have the opportunity to subscribe to shares.
 
The SRO is still subject to terms to be determined by management and relevant requirements and regulatory approvals. The company plans to file the SRO in the second quarter of 2022.
 
SPNEC may also raise capital from private placements with institutional investors, to complete the capital required for the company’s expansion plans.
 
“We need at least P10 billion to complete the development of 10 GW of solar projects,” said Solar Philippines founder Leandro Leviste.
 
“This is only a small percent of project cost, but we believe is a large percent of the value, with development being the bottleneck for the energy transition of the Philippines,” Leviste added.
 
SPNEC also approved the acquisition of land as part of its developments, to be funded from proceeds of the SRO and proceeds from its IPO.
 
The company’s developments are located primarily in the provinces of Nueva Ecija, Bulacan, Tarlac, Batangas, and Quezon, where its parent, Solar Philippines has spent the past years consolidating land suitable for solar in relative proximity to the Greater Manila Area.
 
“As a developer, SPNEC’s business model is to make projects shovel-ready, then bring in joint-venture partners who can help fund the construction. That said, we could also invest a much larger amount, and would take the opportunity to raise such if this is seen to be accretive to shareholders,” Leviste added.