The P478.4-million initial public offering (IPO) bid of NexGen Energy Corp. has hurdled the Securities and Exchange Commission (SEC), which brings the company closer to generating additional funding to support its renewable energy initiatives.  

The SEC said on Thursday that the Commission En Banc approved the registration statement of NexGen Energy last 4 June covering 1,490,000,003 shares. 

The Commission, however, noted that the offering is still subject to the company’s compliance with remaining requirements. 

NexGen Energy will offer to the public 300 million common shares at up to P1.68 apiece. As part of the overallotment option, selling shareholder Pure Energy Holdings Corp. will offer up to 45 million shares for the same price. 

The company anticipates netting up to P478.4 million from the public offering. 

The capital will be partially allocated to renewable energy projects in Zambales, Cavite, and other regions of the Philippines.

However, the company will not receive proceeds from the sale of option shares by its parent firm, Pure Energy Holdings.

The shares will be listed and traded in the Small, Medium, and Emerging Boards of the Philippine Stock Exchange.

China Bank Capital Corp. has been appointed as the sole issue manager and book-runner for the offering, whileInvestment & Capital Corp. of the Philippines will act as joint lead underwriter.

Early this month, Nexgen Energy disclosed that it started the discussion with international Environmental, Social, and Governance (ESG) fund providers to gain support as it works towards achieving its goal of 1,683 megawatts (MW) of clean energy capacity in the next five years. 

The company currently has a dedicated management team focused on expanding its footprint both locally and internationally. 

According to NexGen, the construction cost for the Palauig 2 solar plant was estimated to reach P210 million. The service contract of the Palaguig 2 project is awaiting approval from the Department of Energy. 

Meanwhile, the Silang Maragondon wind farm in Quezon has an estimated project cost of P5.854 billion and has already secured its Wind Energy Service Contract (WESC). 

NEXGEN's Asisan wind farm located in Cavite will cost about P2.341 billion to construct and has likewise secured its WESC.

Established in 2017, Nexgen Energy currently operates three solar plants through its subsidiary SPARC-Solar Powered Agri-rural Communities Corp., with an aggregate capacity of 13.859 megawatts-peak. 

Its two other main subsidiaries, 5-hour Peak Energy Corp. and Airstream Renewables Corp., are engaged in solar and wind projects, respectively.