The Securities and Exchange Commission (SEC) has moved to favorably consider the Direct Public Offering (DPO) of La Union Electric Company, Inc. (LUECO), marking a significant milestone in the implementation of the SEC POWERS initiative.
LUECO is the second issuer to successfully register under the streamlined guidelines for Securing and Expanding Capital for PowerGen Operators and Wholesale Electricity and Retail Services (SEC POWERS).
On December 27, 2025, the Commission En Banc resolved to render effective LUECO’s registration statement covering 2.35 million shares. Key details of the offering include:
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Offer Size: Up to 352,950 common shares.
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Offer Price: ₱772 per share.
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Projected Net Proceeds: Approximately ₱251.4 million.
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Offer Period: January 12 to January 16, 2026.
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Issuance Date: No later than February 6, 2026.
The proceeds from this DPO are earmarked for critical infrastructure and growth initiatives. LUECO plans to utilize the ₱251.4 million to:
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Fund capital expenditures to ensure grid reliability.
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Finance business-related expansion within its franchise area.
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Upgrade facilities and equipment, specifically modernizing its distribution network.
This offering is mandated by Section 43(t) of Republic Act No. 9136, also known as the Electric Power Industry Reform Act (EPIRA). The law requires generation and distribution companies to offer a minimum of 15% of their common shares to the public to promote broad-based ownership in the energy sector.
LUECO has engaged Penta Capital & Investment Corporation to serve as the sole underwriter for the transaction.
