Thai solar developer to raise $170m through IPO

The proceeds would be used to boost BCPG’s renewable energy capacity to 1GW by 2020.

BCPG, the renewable power unit of Thai oil refiner Bangchak Petroleum, is looking to raise 5.9 billion baht ($170 million; €151 million) through an IPO on the Thai Stock Exchange.

The company said it would offer 590 million new ordinary shares, or 29.6 percent of the company’s post-IPO capital, with a preliminary price range of 9.8-10 baht per share. After the float, BCPG’s paid-up capital will total 9.95 baht billion.

The developer expects 11.69 percent of the new shares to be subscribed by a group of institutional investors and the rest by retail investors, respectively between 14-16 and 19-20 September.

Pitada Vatcharasiritham, director of lead underwriter Tisco Securities Company, said that BCPG will use the funds raised from the IPO to fund its renewable power business expansion, both domestically and internationally.

The company is seeking to expand its total installed renewables capacity to 1GW by 2020, it said in a statement. Its investment approach includes investing through its wholly owned subsidiaries, co-investing with other businesses or acquire ownership in greenfield or brownfield projects.

Bundit Sapianchai, president of BCPG, added that the company is not limited to investing in solar projects, but also looking to invest in geothermal, wind, biogas, biomass, and waste-to-energy power plants.

At present, the company has a solar portfolio worth 130MW in Thailand, with projects totalling 118MW already operational. It also has solar plants in Japan with an aggregate contracted capacity of 194MW, of which 174MW are under development.