Alsons lists P600-M second tranche of CP issuance with PDEx

Published November 12, 2021, 5:09 PM

by Myrna M. Velasco

Alcantara-led Alsons Consolidated Resources Inc. (ACR) has listed with the Philippine Dealing and Exchange Corporation (PDEx) the P600 million second tranche of its commercial papers (CP) issuance.

That portion of the CP offer is part of the P3.0 billion CP program that the company had registered and sought approval for with the Securities and Exchange Commission.

The first issue amounting to P1.4 billion was carried out in July this year; and the second issuance is the one currently undertaken.

“Proceeds from the issuance will be used primarily for general working capital purposes,” the Alcantara firm emphasized.

Tapped as manager, arranger and underwriter for the issuance has been Multinational Investment Bancorporation; while Acuña and Francisco Law acted as transactional legal counsel; and AB Capital and Investment Corporation has been designated as facility agent.

As culled from the PRS A plus (corp) rating rendered by PhilRatings for Alsons early this year, the company “has an above average capacity to meet its financial commitments relative to other Philippine corporates.”

The Alcantara-led company is currently at its expansion phase for its power development ventures — not just in the thermal technology space but also for renewables, particularly for run-of-river hydropower facilities.

In particular, Alsons is advancing into completion its 14.5-megawatt Siguil hydropower facility in Sarangani province; and this will serve as take-off point to at least eight hydro facilities that it will be rolling out from blueprint in the years ahead.

Additionally, it is pursuing implementation of its 105MW San Ramon coal-fired power venture so it can provide ‘reliability solutions’ to the electricity needs of Zamboanga City – and that facility is due on stream by 2023.

The power capacity portfolio of Alsons currently stands at 468 megawatts – and its electricity generation has been serving over 8 million people in Mindanao grid, primarily in 14 cities and 11 provinces.

After helping solve the power crisis in Mindanao in recent years, the Alcantara firm indicated that the next terrain of its project developments will be in the renewable energy (RE) realm, not just hydro but potentially solar farms.