EDC concludes tender offer as company hopes to become private

By VG Cabuag - November 1, 2018
https://businessmirror.com.ph/edc-concludes-tender-offer-as-company-hopes-to-become-private/

LOPEZ-LED Energy Development Corp. (EDC) on Wednesday said it concluded the tender offer period for all its shares being held by the public as it intends to take the company private.

In its disclosure to the Philippine Stock Exchange, the EDC said most of its 2.04 billion common shares being held by the public were accepted and purchased back by the company during its offer period that ended on October 22. The tender offer started on September 25.

The shares were bought at P7.25 apiece.

“After the crossing of the shares, the remaining public shares shall account for approximately 0.16 percent of the company’s total outstanding common shares,” it said.

The crossing date for the tendered shares will be done on Monday.

Shares of EDC were suspended for trading on Wednesday. Its last traded price was at P6.87 per share.

EDC, the renewable-energy generation arm of the Lopez family, was incorporated and registered on March 5, 1976, to primarily engage in the business of exploring, developing, operating, and utilizing geothermal energy and other indigenous renewable-energy sources for electricity generation.

EDC’s geothermal power projects engage in two principal activities: the production of geothermal steam for use at EDC and its subsidiaries’ geothermal power plants; and the generation and sale of electricity through those geothermal power plants pursuant to take-or-pay and take-and-pay power off-take arrangements.

The company conducts commercial operations in four of its geothermal contract areas, namely, Tongonan, Kananga, Leyte; Southern Negros, Valencia, Negros Oriental; Bacon-Manito, Albay and Sorsogon; and Mount Apo, Kidapawan, Cotabato. It currently holds 10 wind-energy service contracts covering areas in Ilocos Norte, Sorsogon, Iloilo and Negros Occidental; and six solar-energy SCs covering areas in Ilocos Norte, Negros Occidental, North Cotabato and Cebu.

EDC also operates a hydroelectric power plant through its 60-percent owned subsidiary, First Gen Hydro Power Corp.

Its current direct subsidiaries include EDC Drillco Corp., EDC Geothermal Corp., EDC ChileLtd., EDC Holdings International Ltd., EDC Wind Energy Holdings Inc., EDC Wind Energy Holdings 2 Inc. and EDC Bright Solar Energy Holdings Inc.