Alternergy gets official IPO dates
Alternergy [ALTER 1.48 pre-IPO] [link], the renewable energy company owned by Vince Perez, the former Secretary of the Department of Energy, had its application for an IPO approved by the PSE last week, but now it has official dates for all phases of the offering.
The updated prospectus for the offer is available here, which shows that ALTER will be priced on March 7, with an offer period that will run from March 13 through March 17, and an IPO listing day on March 24. ALTER is looking to raise P1.87 billion, for 32.1% of the company, in an offer that is all primary shares (even the over-allotment portion).
Assuming no changes to the price on March 7, this gives ALTER an implied post-IPO market cap of P5.8 billion, which is just above Max’s Group [MAXS 5.30 0.9%] and just below CTS Global [CTS 0.93 1.1%] in terms of market value.
ALTER plans to use P0.56 billion of the proceeds to fund the continued development of existing projects, P0.52 billion of the proceeds to pay for the outstanding balance of its purchase of shares in Kirahon Solar Energy Corp., which owns the Kirahon Solar Plant, and P0.34 billion to finance “pre-development expenses of pipeline projects”.
MB BOTTOM-LINE
It feels uncharacteristic of the PSE to allow two IPOs to occur so close in time to one another; with Upson International [UPSON 5.50 pre-IPO] scheduled to list on March 16, ALTER’s IPO is only eight days later.
Maybe the PSE is in a “beggars can’t be choosers” position and is stepping out of its comfort zone to get these little IPOs on the books, both to make progress towards its goal of P160 billion in equity transactions for 2023, but also to get some smaller pieces of business off the calendar to clear the way for some behemoths to pass through the system.
Citicore Renewable Energy Corp might be planning one of the largest (if not the largest) IPOs in PSE history for Q2, and Enrique Razon could be looking to make a similarly-huge splash by listing his private holding company, Prime InfraCapital, at some point later this year.
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Merkado Barkada's opinions are provided for informational purposes only, and should not be considered a recommendation to buy or sell any particular stock. These daily articles are not updated with new information, so each investor must do his or her own due diligence before trading, as the facts and figures in each particular article may have changed.
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