GSIS plunks P1.45B into Vince Perez’s renewables firm
Listed Alternergy Holdings Corp. has received P1.45 billion from state-run pension fund Government Service Insurance System (GSIS), bringing the renewable energy firm’s total equity capital this year to P3 billion.In a stock exchange disclosure on Tuesday, Alternergy said the amount would be used to fund the development of the Tanay and Alabat wind power projects that Alternergy had won in the government’s second Green Energy Auction Program.
The company led by former Energy Secretary Vicente Perez Jr. announced last month that GSIS had subscribed to 100 million of Alternergy’s preferred shares at P14.50 per share under a private placement.
Private placements involve the direct sale of stocks to a private investor, as opposed to a public offering.
To recall, Alternergy also raised P1.62 billion from its initial public offering in March this year.
Of the total, P113 million and P100 million will go to the development of the Tanay and Alabat projects, respectively.
Alternergy has been aggressively pursuing finance activities in recent months to secure capital for its project pipeline, as it plans on developing up to 366 megawatts of additional wind, solar and run-of-river hydropower projects in the next three years.It had tapped investment banks BPI Capital, RCBC Capital and SB Capital as lead arrangers to raise P12 billion for the two wind projects that must be available by 2025.
Alternergy has so far partnered with an electric cooperative in Quezon province to facilitate the distribution of power from the Alabat project.
Under the agreement between Quezon 1 Electric Cooperative Inc. and Alabat Wind Power Corp., the special purpose vehicle tasked with the development of the project, a 69-kilovolt transmission line will be connected from the wind farm to the Hondugua substation in Quezon.
Alternergy has yet to disclose developments in the Tanay project. INQ
