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Prime Infra eyes P55B capex; moves IPO to H1 2023
By TED CORDERO,GMA Integrated NewsRazon-led Prime Infrastructure Capital Inc. is setting aside about P55 billion in capital expenditures for its pipeline of development projects as it plans to raise additional capital through an initial public offering (IPO) slated in the first semester of 2023.
At a press briefing in Parañaque City on Thursday, Prime Infra president and CEO Guillaume Lucci told reporters that the company “will need about give or take P50 [billion], P55 billion of equity to support our projects.”
The Prime Infra chief said the company is “well-positioned” to build projects supporting urgent sustainability goals such as energy, clean water access, waste management, and viable critical infrastructure.
“And of course, the IPO will play a key role in raising a significant part of the capital we need to deliver the existing pipeline,” Lucci said.
Prime Infra is tycoon Enrique Razon Jr. 's holding firm for his interests in infrastructure assets such as water, energy, construction, and waste and sustainable fuels.
The company has acquired substantial stakes in Manila Water Company Inc. and the Malampaya natural gas-to-power facility.
“For the time being, IPO is our primary objective…,” Lucci said.
In June, Prime Infra filed for an IPO to generate up to P27.572 billion
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The company had set the offer period in late September and the listing date in early October this year.
Lucci said Prime Infra decided to defer the IPO next year due to unfavorable market conditions.
“We’re delayed because market conditions are not conducive for an IPO… Timing wise, it will be in the first half, as soon as conditions are supportive of a successful IPO,” he said.
Prime Infra has earlier unveiled plans to build the world’s largest solar power facility which would have a 2,500-megawatt capacity.
“The commitment was made vis-a-vis Terra Solar being P200 billion. Keep in mind that we fund our projects with project financing at the asset level,” Lucci said.
The company also began commercial operations of its Wawa Bulk Water Supply Project Phase 1, which is design to designed to deliver an initial 80 million liters per day (MLD) of raw water to offtaker Manila Water Company and Metropolitan Waterworks and Sewerage System (MWSS).
“Our edge is we are very disciplined management. We are absolutely relentless and always moving and two steps ahead,” Lucci said.—AOL, GMA Integrated News