NexGen eyes ESG equity fund, GOCCs for RE projects

MANILA, Philippines — Initial public offering (IPO)-bound NexGen Energy Corp. is eyeing to tap environmental, social and governance (ESG) equity funds as well as state corporations to bankroll its renewable energy (RE) projects.

NexGen, a wholly owned subsidiary of Pure Energy Holdings Corp. (PEHC), said it is in talks with ESG funds to help finance its shift to clean energy projects.

“The company is in discussions with several international ESG funds, and we are open to discussions with GOCCs (government-owned and controlled corporations),” NexGen president Eric Roxas said.

The RE firm earlier filed its IPO application with the Philippine Stock Exchange (PSE), aiming to raise nearly P580 million from the sale of 300 million shares with an over-allotment of 45 million shares at an offer price of up to P1.68 per share.

Some of the proceeds from the public listing will be used by the firm to partially finance the equity portion of the construction of its five-megawatt (MW) Palauig 2 Solar Plant and the expansion of its existing five-MW solar plant in Palauig, Zambales.

NexGen will also use part of the proceeds for the development of its 100-MW Silang Maragondon onshore wind power plant and the 40-MW Asisan onshore wind plant.

The company said the construction of the Palauig 2 solar plant would cost around P210 million while the Silang Maragondon wind farm in Quezon has an estimated project cost of P5.854 billion.

Meanwhile, the Asisan wind farm in Cavite will cost about P2.341 billion, according to NexGen.

The company said it wants to develop 1,683 MW of ground mounted solar, floating solar, onshore and offshore wind projects within the next five years.

“NexGen also believes that climate controlled indoor farms would be the next generation farming technology and NexGen would like to be at the forefront of supporting the power requirements for these projects,” Roxas said.

“The successful listing of its affiliate REDC (Repower Energy Development Corp.) is a testament to the confidence of its shareholders and investors,” Roxas said.