SCUTTLEBUTT
No grease, all green
Amid growing buzz over the Government Service Insurance System’s P1.44-billion investment in Alternergy Holdings Corporation — and the alleged preventive suspension of pension fund chief Wick Veloso — the financial advisor behind the deals stood its ground.
Investment & Capital Corporation of the Philippines (ICCP), which advised Alternergy, a renewable energy pioneer founded by former Energy Secretary Vince Perez, emphasized on Monday that it went by the book.
“Our role was to ensure that the capital-raising activities adhered to strict regulatory requirements and market practices,” ICCP President and COO Manny Ocampo said. “All disclosures were made to regulators and investors in line with best standards of fairness, transparency, and investor protection.”
ICCP served as sole issue coordinator and joint lead underwriter during Alternergy’s initial public offering in March 2023, which raised fresh funds for its renewable energy projects.
It stated that the offering met the stringent requirements of both the Securities and Exchange Commission and the Philippine Stock Exchange, including track record, profitability, and minimum market capitalization.
Following the IPO, ICCP also arranged Alternergy’s offering of Redeemable Preferred Shares (RPS), which attracted institutional investor GSIS—the deal that is now under scrutiny. ICCP emphasized that the issuance and listing of the RPS in March 2024 complied with all applicable rules.
“These transactions were conducted with strict due diligence and compliance processes. We ensured transparency at every stage of these transactions in line with our commitment to ethical and professional standards,” ICCP Chairman and CEO Val Bagatsing said.
He added that Alternergy reported to the PSE the payment of the first full annual coupon on the RPS in December 2024.
The controversy stems from reports citing anonymous sources, which stated that the Ombudsman had found sufficient basis to investigate Veloso and seven others regarding the GSIS investment in Alternergy.
Delayed for a decade
In a landmark decision, the Supreme Court upheld the legality and enforceability of the Joint Venture Agreement (JVA) between GlobalCity Mandaue Corp. (GMC) and the City Government of Mandaue, clearing the way for the 131-hectare reclamation and urban development project in Cebu after a 10-year delay.
The ruling affirms the decisions of the Pasig Regional Trial Court (RTC) and the Court of Appeals (CA) that directed both parties to implement the Contractual Joint Venture Agreement (CJVA) signed on 7 January 2014.
The GlobalCity Mandaue Project has the ambitious goal of transforming a 131-hectare portion of the Mactan Channel, near the Marcelo Fernan Bridge and along the coastlines of Barangays Paknaan and Umapad, into a mixed-use estate.
The planned development would encompass commercial centers, residential communities, industrial zones, and tourism facilities—all designed to stimulate regional growth and generate substantial economic activity.
Executed initially by the City of Mandaue and Sultan 900 Inc., the agreement was later implemented by GMC. The project began its mobilization in 2016 with the deployment of equipment and personnel. Progress was halted due to the City Government’s failure to obtain key environmental and regulatory permits, triggering a legal battle that spanned nearly a decade.
The Supreme Court’s decision reinforces the binding nature of the CJVA and compels both parties to fulfill their respective obligations without further delay.
GMC lauded the ruling, saying: “We welcome the Supreme Court’s affirmation of our agreement. GMC is ready to resume work with the City Government of Mandaue and relevant agencies to bring this transformative project to life.”
“This decision clears the path for sustainable urban growth, job creation, and enhanced economic competitiveness—not just for Mandaue City but for the entire Central Visayas region. We are committed to delivering a world-class development that uplifts communities and drives national progress,” the consortium said.
With the High Court finally providing clarity, the GlobalCity Mandaue Project is now expected to move forward.
The extended legal battle reflected the unnecessary and costly interruption that private projects suffer from for reasons investors are not responsible for.
