CREC aims to be PH’s largest power producer after raising P5.3B from IPO

Citicore Renewable Energy Corp. (CREC) has set its sights on becoming the country’s largest power producer in the next five years.

“The goal really is to become the largest, if not top three largest power generation company in the Philippines... We have a five-year time horizon to achieve that goal,” CREC president and CEO Oliver Tan said at a press conference in Taguig City on Friday.

To achieve this goal, Tan said CREC is planning to build and commission one gigawatt (GW) capacity every year for the next five years.

Currently, the company has a total gross installed capacity of 285 megawatts (MW).

For the short-term, Tan said, additional capacity that will be produced by CREC will be “primarily solar.”

“Over the medium term, it would be a combination of onshore wind and battery energy storage systems. And then over the longer term horizon, it would be the offshore wind,” he said.

CREC successfully raised about P5.3 billion from its initial public offering of 1,785,715,000 common shares, with a 10% overallotment option of up to 178,572,000 secondary common shares, at a price of P2.70 per share. 

“With the investments made during the IPO, we have gained even more confidence in our ability to develop and expand our green energy portfolio. These investments are integral to the country’s transition to a cleaner form of power and our hope is to contribute to a more sustainable and affordable energy solution for all,” Tan said.

He said the proceeds of the IPO will fund CREC’s capital expenditures.

Tan also disclosed that the United Kingdom government’s MOBILIST program invested $12.5 million in its IPO.

In July 2023, MOBILIST and the Philippine Stock Exchange established a partnership to ensure greater investment in sustainable development in the Philippines through stocks listed on the local bourse.

CREC is MOBILIST’s maiden IPO investment in the Philippines.—LDF, GMA Integrated News