LISTED firm Greenergy Holdings, Inc. is set to apply for a loan or credit facility amounting up to P5 billion, the company said on Tuesday.
The company told the local bourse that its board of directors had approved on Monday the application and security with banks and other financial institutions “under such terms and conditions as may be beneficial to the company.”
Greenergy did not disclose any additional details on where it intends to use the proceeds.
With the approval, the chairman or the president of the company has been designated to “sign, execute and deliver any and all documents related to the loan.”
The company was also issued the authority to write off the advances it made to its subsidiaries and were previously impaired, namely: Total Waste Management Recovery System, Inc.; Lite Speed Technologies, Inc.; Agrinurture Development Holdings, Inc.; and Winsun Green Ventures, Inc.
In September, Greenergy disclosed that its board of directors had approved the subscription to 480 million shares out of the increase in Winsun’s authorized capital stock.
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.
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.
Greenergy was originally into manufacturing specialty semiconductor products before venturing into renewable energy.
The company saw its attributable net loss widen to P9.53 million in the third quarter from last year’s P8.74 million.
Gross revenues fell by 92% to P1.71 million from P21.26 million previously. Gross expenses, meanwhile, dropped by 55.4% to P14.33 million from P32.16 million a year ago.
At the local bourse on Tuesday, shares in the company went up by P0.002 or 0.81% to finish at P0.25 apiece. — Sheldeen Joy Talavera
