BCPG Submits IPO of 600 Million Capital Shares
BCPG Submits IPO of 600 Million Capital Shares to Be Listed on SET, Eyeing Domestic and Global Business Expansion
BCPG Plc., a subsidiary of the Bangchak Petroleum Plc. (BCP), has filed an initial public offering of no more than 600 million ordinary shares with the Securities and Exchange Commission. Once approved, the IPO is expected for launch during the third or fourth quarter of 2016.
Mr. Bundit Sapianchai, BCPG’s President, said that BCPG’s operations lies in renewable energy business and is also involved in seeking out investments in the field elsewhere. The Company and its subsidiaries currently operate eight power generating projects in solar energy (Solar Farms) and sell the power produced to the Electricity Generating Authority of Thailand (EGAT) and the Provincial Electricity Authority (PEA) via the Power Purchasing Agreement for the capacity of 118 megawatts.
Apart from domestic investment opportunities, the Company also seeks overseas expansion through development or acquisitions of alternative energy businesses. Currently, Through BCPG Japan, the Company has operations with a total capacity of 198 megawatts (MW) which comprises four solar farm projects already in operation (13 MW), two projects under construction (27 MW), and pipeline projects with a total capacity of 158 MW.
The projects are a result of the recent acquisition of SunEdison’s businesses in Japan which not only has expanded BCPG’s power production capacity but has also increased the Company’s geographic presence and shall enhance its strategic platform in Asia. This will also be an important leverage for future expansion into other countries in accordance with BCPG’s business expansion goals.
Mr. Bundit added that in view of the BCPG Group’s performance and in order to realize BCPG’s future business goals, BCPG has filed an application for listing on the Stock Exchange of Thailand (SET) in the Energy & Utilities Sector, with Kasikorn Securities Plc., Finansa Securities Limited, and TISCO Bank Plc. as financial advisors. BCPG filed the IPO of no more than 600 million ordinary shares with a par value of 5 baht on 29 March 2016. The IPO is under the SEC’s consideration. Upon approval, the offering procedure is expected to begin around the third or fourth quarter this year. The fund raised from the IPO will be channeled to domestic and overseas business expansion investments and serve as BCPG's cash flow.
Currently, the Company's registered capital is 10 billion baht, divided into 2 billion ordinary shares with a par value of 5 baht. BCP is the major shareholder holding 1.4 billion shares or 99.9% of the total shares. The BCP’s shareholding will be diluted to no less than 70.0% of the ordinary shares after the IPO.