Greenergy invests P480 million in RE subsidiary
LISTED firm Greenergy Holdings, Inc. is investing an additional P480 million into its subsidiary Winsun Green Ventures, Inc., which is into renewable energy (RE) ventures.
The company told the local bourse on Tuesday that its board of directors had approved on Monday the subscription to 480 million shares out of the increase in Winsun’s authorized capital stock.
“The transaction will strengthen the position of [Greenergy] in renewable energy and sustainable community projects,” it said.
The company said it had paid P185 million upon subscription while the balance of P295 million will be paid within 60 calendar days or until Nov. 17.
Greenergy described Winsun as engaged in energy projects, including the exploration, development and use of RE resources, importation, exportation and operations of RE systems and facilities within and outside the Philippines.
Winsun is increasing its authorized capital stock to 500 million shares from 20 million shares previously, with a par value of P1 apiece. The increase is subject to the approval of the Securities and Exchange Commission.
Carlos Angelo O. Temporal, senior equity research analyst at Unicapital Securities, Inc., said in a Viber message that the additional shares will allow Greenergy to expand its renewable energy portfolio.
“[Greenergy’s] subscription of 480 million Winsun shares injects significant capital into the latter, facilitating Winsun’s expansion of its renewable energy portfolio. This, in turn, enhances the value of [Greenergy], being the parent company,” he said.
In the same disclosure, Greenergy announced that its chairman, Martin C. Subido, had resigned due to personal reasons and would be replaced by Edgardo G. Lacson.
Mr. Subido will remain as director of the company, it said.
The company also announced the appointment of investment banker Stephen Anthony T. CuUnjieng as an independent director who will fill the vacancy after the resignation of Maylyn Z. Dy.
Mr. CuUnjieng is currently an independent director in various publicly listed companies and has over 30 years of experience in investment banking, according to the company.
Greenergy was originally into manufacturing specialty semiconductor products before venturing into renewable energy.
At the local bourse on Tuesday, shares in the company closed unchanged at P0.28 apiece. — Sheldeen Joy Talavera