Pampanga power utility’s P700-M IPO okayed

The Securities and Exchange Commission (SEC) cleared the P708-million public offering of Pampanga-based Angeles Electric Corp., the third-largest private power distributor in Luzon.

The offering is being made in compliance with Republic Act No. 9136, or the Electric Power Industry Reform Act, which states that generation companies shall offer and sell to the public a portion not less than 15 percent of their common shares of to the public.

The corporate regular said the Commission En Banc approved the company’s registration statement covering 1.18 billion shares.

Angeles Electric is targeting to sell 207.02 million common shares at P3.42 per share from Dec. 18 to 2022.

Proceeds will be used to “fund a portion of its capital expenditure projects over the next two years”.

The SEC said the shares may be sold to any person, domestic corporation, association, or partnership.

“In the case of domestic corporations and associations, 60 percent of its total voting shares and total outstanding capital stock must be owned and held by Filipinos, in line with the foreign ownership limit for public utility companies at 40 percent of its outstanding capital stock,” it added.

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Angeles Electric tapped Penta Capital & Investment Corp. as the sole underwriter for the transaction.

The company was granted its first franchise to construct, maintain and operate an electric, heat and power system in Angeles City in 1959.

“Angeles Electric Corp. holds the distinction of being the first electric utility company to achieve 100-percent electrification of its franchise area, way back in 1969,” it added. INQ