First Gen Corp. is weighing the possibility of exiting the Philippine Stock Exchange following its recent P50-billion gas asset sale, the Lopez group’s renewable energy firm revealed on Friday.
While a delisting remains only a potential option, the company emphasized that no final decision has been made. “First Gen Corporation confirms that delisting the company is one of the options available to it, and one that the company may consider in the future. At the moment, there are no definitive plans to delist the company,” it said.
The announcement comes as First Gen reshapes its portfolio after the multibillion-peso sale to Prime Infrastructure Capital Inc. The company plans to use the proceeds to expand its geothermal energy operations, a key segment of its renewable energy strategy. First Gen currently operates 1,651 MW of clean energy capacity, with geothermal representing the largest portion, and aims to reach 13,000 MW of renewable energy capacity by 2030—a benchmark still under review.
Carlos Lorenzo Vega, chief customer engagement officer, said the gas sale funds will primarily support geothermal expansion, though the company retains a 40-percent stake in the gas assets, which remain important as a transition fuel.
Experts note that First Gen has several reasons to consider delisting. Juan Paolo Colet, managing director at China Bank Capital Corp., highlighted the stock’s long-standing undervaluation, low public float, and limited trading liquidity. He suggested that following the gas business sale, a delisting tender offer could provide public shareholders with a fair and orderly exit while allowing the company to deploy its cash windfall efficiently.
