The Philippine Stock Exchange Inc. on Monday lifted the trading suspension imposed on paper firm Steniel Manufacturing Corp. the past 18 years.
Its shares resume trading starting Tuesday, April 30, following the submission of requirements.
“Considering that the trading of the company’s shares was suspended since July 6, 2006, the static threshold (trading band) on the price of STN shares will be lifted upon the resumption of trading of the company’s shares on April 30, 2024,” the PSE said.
Steniel was declared in May 2006 in default of P636 million worth of loans it tapped in 2000.
The PSE suspended the trading of its shares the same year and remained in place as its equity turned negative.
Steniel addressed its financial woes via restructuring, involving dacion en pago or payment in kind using its machinery and debt conversion to equity.
To address the negative equity, Steniel sold Steniel Mindanao Packaging Corp. in 2013 and realized a gain from the difference of the unit’s book value of the sale price of P2.16 per share and its recorded book value of P0.932 per share.
The company then reacquired SMPC in 2019 through a share-swap agreement. It then converted debt from Greenkraft Corp. and Roburgh Investments Ltd. to equity.
Steniel’’s major shareholders include Greenkraft with 18.20 percent, Golden Bales Corp. with 19.45 percent, Corbox Corp with 19.45 percent, Roxburgh Investments Ltd. with 18.46 percent and Clement O. Chua with 9.82 percent.
Chua is a shareholder of Greenkraft, Corbox and Golden Bales Corporation and has indirect shares in STN.
Steniel’s share price was last traded at P0.25 apiece.
