Greenergy boosts capital to P10B

Posted at 11/17/12 8:40 AM

MANILA, Philippines - Listed renewable energy firm Greenergy Holdings Inc. will focus on being a holding firm, increasing its capital stock to P10 billion to support the expansion.

In a disclosure, the company said its board of directors approved the “investment in companies or acquisition of assets relating to the businesses of Antonio Tiu.”

“Among the businesses being considered for acquisition or investment are food and agriculture, banking and finance, real estate development and construction, renewable energy, technology, information technology and retail,” it added.

Tiu, president and CEO of Greenergy, also heads large-scale fruits and vegetables producer AgriNurture Inc., Sunchamp Real Estate Development Co., Earthright Holdings Inc. and fruit shake retailer The Big Chill Inc.

Greenergy is looking to sell primary and secondary shares, and refinance debts to support investments and acquisitions.

The firm said its board also approved the issuance of 2.5 billion shares to Jerry Yu and six billion shares to Three Star Capital Ltd. (BVI) through private placements.

This allowed Greenergy to raise P750 million in fresh capital.

“The foregoing transactions will materially widen and diversify the investment portfolio of the company as a holdings company, leading to significant opportunities for business growth and enhancing shareholder value,” Greenergy said.

The board of directors also approved the change in the company’s name.

Greenergy will also increase its authorized capital stock up to P10 billion, depending on the decision of the board.

To date, the firm has an authorized capital stock of P2 billion.

Early this month, Greenergy announced that it secured board approval to increase its authorized capital stock to as much as P5 billion.

In March, Greenergy’s board allowed the company to sign deals with government agencies and local government units for solid waste recycling and biomass generation projects.

Greenergy is also in a joint venture with China-based Tianjin Tianbao for the construction of $1.3 billion worth of wind power projects with a total generating capacity of 1,000 megawatts (MW) in the Philippines in the next 10 years.

Initial investment will cost $200 million for a 49.5-MW wind energy project composed of 33 units of 1.5-MW wind mills.