Philippine Business Bank Inc. will start on Friday a 10-day stock rights offer that would raise P500 million for the listed savings bank.
Shareholders of record March 10 are entitled to buy one new Philippine Business Bank share for every 4.6428 shares they hold at a price of P10.
The 50 million new shares offered under the rights offer will be listed on the Philippine Stock Exchange on March 31.
Unicapital Inc. has fully underwritten the bank’s stock rights offer, which means any shares not taken up by existing stockholders will be bought by the underwriter.
Proceeds from the rights offer will be used primarily to increase the bank’s capital to comply with minimum capital requirement for a universal bank license and for other general corporate purposes including but not limited to investments, loans, maintenance capex, operating expenses, and other opportunities. As a universal bank, Philippine Business Bank will develop more businesses and harness opportunities in the financial services space.
