Repower Energy goes public in a sluggish market

In a difficult market climate, Repower Energy Development Corporation (REDC) made its debut on the Philippine Stock Exchange (PSE) on Monday, July 24. With its 230 million common shares priced at P5, REDC was able to attract Japanese giant Tokai Holdings Corporation as an anchor investor and raise P1.2 billion from the IPO.

REDC began trading 0.2% above its IPO price and increased by 2% as early morning trading progressed. A Pure Energy Holdings subsidiary, REDC sought money to pay for the equity portion of its projects in the provinces of Bukidnon and Quezon, as well as to buy renewable energy projects and meet operating and working capital needs. The offering's only underwriter was China Bank Capital.


Since its establishment in 2013, REDC has created eight hydropower projects across four provinces. The net income of REDC, which has a three-year history of profitability, was P168 million in 2022 and is anticipated to be P300 million in 2023.

The company's business strategy offers stockholders a high dividend yield while being pandemic-proof. Following Upson International Corporation and Alternergy Holdings Corporation, REDC is the third business to list at the regional market this year.