Philex hikes rights offer
Philex Mining Corp., the country’s biggest metal mining company, plans to raise P13.8 billion through a stock rights offering slated next month.
Philex said it would use proceeds from the rights offering to finance the development of the Silangan mining project in Surigao del Norte and refinance debt. The company increased the size of the offering from P12.3 billion.
Philex will offer 2.466 common shares to shareholders at P5.60 per share, a 38.6-percent discount from Thursday’s closing price of P9.12.
Shareholders of record as of Oct. 16, 2013 are entitled to subscribe to one share for every two they own.
Philex hired Hongkong and Shanghai Banking Corp. as the sole global coordinator and tapped BDO Capital & Investment Corp. and BPI Capital Corp. as domestic underwriters.
The offering period starts on Oct. 21 and ends Nov. 4, while the listing date is set on Nov. 12.
The company’s principal shareholders as of end-August are First Pacific Co. Ltd., with 31.50 percent; pension fund Social Security System, 20.51 percent; and Two Rivers Pacific Holdings Corp., 14.98 percent.
Philex said it plans to allot P7.63 billion of the net proceeds from the stock rights offering to finance the capital expenditure requirements of the Silangan project from December this year to June 2015.
COMMENT DISCLAIMER: Reader comments posted on this Web site are not in any way endorsed by The Standard. Comments are views by thestandard.ph readers who exercise their right to free expression and they do not necessarily represent or reflect the position or viewpoint of thestandard.ph. While reserving this publicationâ€™s right to delete comments that are deemed offensive, indecent or inconsistent with The Standard editorial standards, The Standard may not be held liable for any false information posted by readers in this comments section.