Solar Philippines plans asset-for-share swap with SPNEC

MANILA, Philippines — Solar Philippines Power Project Holdings Inc. (SP), the parent company of Solar Philippines Nueva Ecija Corp. (SPNEC), is looking to swap its 20 solar projects in the pipeline for three times SPNEC’s current outstanding shares or 24.37 billion shares.

SPNEC has set a stockholders meeting on March 7 to approve the increase in its authorized capital stock to 50 billion shares from 10 billion shares ahead of the planned asset-for-share swap.

The asset-for-share swap is still subject to a third-party valuation and fairness opinion by an independent financial advisor.

While this evaluation is ongoing, Solar Philippines is reserving the subject assets for the potential asset-for-share swaps with SPNEC, in the interest of giving this opportunity to SPNEC’s public shareholders, said Solar Philippines founder Leondro Leviste.

SPNEC successfully raised P2.7 billion for the equity of the 500-MW Nueva Ecija Solar Farm in 2021, becoming the first pure-play solar company to list on the Philippine Stock Exchange.

Its parent company, Solar Philippines began developing this pipeline in 2015, in preparation for growing demand for renewable energy in the country.

Its portfolio now comprises over 20 solar project companies, which include over 400-MW already operating or under construction.

Certain projects are at a similar stage as SPNEC’s 500-MW development, while others are expected to begin operations at a later date given their scale.