PNOC’s geothermal unit eyes $300M from IPO in Q4
The Philippine Star
07/06/2006
PNOC-Energy Development Corp. (PNOC-EDC) expects to raise $300 million from its initial public offering (IPO) scheduled on the last quarter of this year, a top company official said yesterday.
In an interview with reporters, PNOC-EDC president Paul Aquino said part of the proceeds from the IPO will finance the upgrading of the company’s two-decade-old drilling facilities.
Aquino said they are also trying to raise through the IPO some $60 million for the payment of the company’s build-operate-transfer (BOT) contracts this year.
He said they want to generate fresh funds from the public offering to veer away from new borrowings. "We’re trying to hold off any borrowing and we have to raise capital to finance the acquisition and upgrading of drilling equipment."
PNOC-EDC is the geothermal and renewable energy development arm of state-owned Philippine National Oil Co. (PNOC). It is one of the most profitable companies of the PNOC group, with a present net book value of between $800 million to $1 billion.
Based on the initial plan, PNOC-EDC will hold the IPO in September this year. But Aquino noted they have to wait for a more favorable market condition before they would push through with the capital-raising scheme. "We are expecting a market slump to last for two months and another two months for the market to consolidate. It will probably be in November or December."
07/06/2006
PNOC-Energy Development Corp. (PNOC-EDC) expects to raise $300 million from its initial public offering (IPO) scheduled on the last quarter of this year, a top company official said yesterday.
In an interview with reporters, PNOC-EDC president Paul Aquino said part of the proceeds from the IPO will finance the upgrading of the company’s two-decade-old drilling facilities.
Aquino said they are also trying to raise through the IPO some $60 million for the payment of the company’s build-operate-transfer (BOT) contracts this year.
He said they want to generate fresh funds from the public offering to veer away from new borrowings. "We’re trying to hold off any borrowing and we have to raise capital to finance the acquisition and upgrading of drilling equipment."
PNOC-EDC is the geothermal and renewable energy development arm of state-owned Philippine National Oil Co. (PNOC). It is one of the most profitable companies of the PNOC group, with a present net book value of between $800 million to $1 billion.
Based on the initial plan, PNOC-EDC will hold the IPO in September this year. But Aquino noted they have to wait for a more favorable market condition before they would push through with the capital-raising scheme. "We are expecting a market slump to last for two months and another two months for the market to consolidate. It will probably be in November or December."
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