Petron Corp. said Monday it filed with the Securities and Exchange Commission for the shelf registration and offer and sale in the Philippines of up to 50,000,000 preferred shares, which could raise for the country’s largest oil company a total P50 billion.
The oil company said the first tranche that will be offered and sold shall be 20,000,000 preferred shares, with an oversubscription option of up to 10,000,000 preferred shares.
The net proceeds from the offer shall be used by Petron primarily for the partial redemption of the $550 senior perpetual capital securities issued in 2018, partial refinancing of the P7 billion retail bonds, refinancing of existing indebtedness and purchase of crude oil.
The preferred shares offer is tentatively scheduled between May 22 and May 26, 2023. The preferred stocks will be listed on the Philippine Stock Exchange on June 5. Cash dividend payments will be made every three months.
Petron operates the only integrated oil refinery in the Philippines and is a leading oil marketing company, with a retail market share of approximately 33.5 percent. It is also a major industry player in the Malaysian market in the last eleven years.
It reported a 6.6 percent increase in net profit of P5.73 billion as sales nearly doubled to P857.6 billion. The oil company’s total assets rose 13 percent last year to P460.07 billion.
Bank of Commerce, Chinabank Capital, Philippine Commercial Capital Inc., PNB Capital and Investments Corp., and SB Capital are the joint lead underwriters of Petron’s preferred shares issue.
