Raslag Corp. to raise P2 billion for solar project via preferred shares

Raslag Corp., the renewable energy arm of the Nepomuceno group, is aiming to raise P2 billion by issuing preferred shares through a private placement, with the goal of completing the offering by July.

The company's board of directors has authorized the issuance of up to 15 million preferred shares, consisting of a base offering of P1.5 billion and an oversubscription option of P500 million.

BPI Capital Corp. has been appointed as the sole issue manager, lead underwriter, and bookrunner for the offering.

The private placement is contingent on the Securities and Exchange Commission's approval to convert 100 million unissued common shares into preferred shares.

The majority of the funds raised will be allocated to the development of the Raslag 7 solar power project in Nueva Ecija, which is slated for completion by 2027 with an estimated cost of P4.8 billion.

Additionally, the board approved the acquisition of a 1,000-square-meter lot for Raslag 7's switching station at a cost of P10 million, exclusive of taxes and other expenses.