Philippines’ SPNEC to ‘catalyse’ 10GW project via stock rights offering

The SRO has proceeds worth P2.8b.

Philippine-firm Solar Philippines Nueva Ecija Corp. (SPNEC) said the P2.8b proceeds from its stock rights offering (SRO) is expected to “catalyse” the development of its 10-gigawatt  (GW) projects.

“The SRO’s P2.8billion proceeds will help complete the total P10b that we plan to invest to complete the development of 10 GW of projects,” Solar Philippines founder Leandro Leviste said.

With an industry standard cost of $700,000 per megawatt (MW) and revenue of P6m annually, the 10GW of projects are estimated non-land capital expenditure of $7b and annual revenue of P60b. 

“As a project developer, our job is to consolidate land and permits so the projects can secure off-take and become construction-ready, to enable the projects to raise project financing to complete the CAPEX with the help of partners,” Leviste said.

Read more: SPNEC to complete share swap with Solar Philippines by end-2022

“If we execute successfully, then this SRO can catalyze an order of magnitude more in investment, for the benefit of SPNEC’s shareholders, its partners, and other stakeholders.”

SPNEC added that the SRO is seen to advance the asset-for-share swap of Solar Philippines by increasing its public float ahead of the new shares that will be issued to Solar Philippines in exchange for its projects. 

These projects include over 400MW operating or under construction; the 3.5GW solar, 4.5GWh battery Terra Solar project; and the 1.8 GW solar, 1.8 GWh battery Batangas Baseload project amongst others.