Solar Philippines Nueva Ecija Corporation (SPNEC) has laid out its guidelines and share price range for its stock rights offering (SRO) targeted for June.
In a disclosure to the Philippine Stock Exchange (PSE) on Monday, SPNEC said it will be giving its shareholders the right to acquire one share for every 1.28 shares priced between Php1.60 and Php1.76 apiece. This is 12-20% less than the company’s volume-weighted average price in the PSE over the past two months.
The SRO is being filed based on SPNEC’s current unissued authorized capital stock (ACS) of 1.88 billion shares.
“SPNEC is now preparing to file its SRO application, after which the timing would be subject to regulatory approval, but no longer subject to an increase in ACS to the extent of its current unissued ACS,” the company said.
Proceeds of the SRO will be used to fund the land acquisition for four gigawatts (GW) worth of solar projects, which is part of its goal to build a 10GW portfolio by 2025.
Under PSE rules, a listed firm can conduct a new offering like an SRO 180 days after its initial public offering. SPNEC was listed in the PSE on December 17, 2021.
Solar Philippines founder and CEO Leandro Leviste said in the latest episode of Power Podcast that the construction of SPNEC’s 500-megawatt “solar ranch” in Peñaranda, Nueva Ecija is “ahead of schedule.”