East Coast Vulcan Mining Corporation said its board has approved a series of corporate actions aimed at cleaning up its balance sheet and positioning the company for potential capital raising.
Central to the plan is an equity restructuring that will reduce the company’s authorized capital stock to P9.6 billion from P12 billion, while lowering the par value of its common shares to P0.80 from P1.00, without changing the total number of shares. The move is intended to eliminate or significantly reduce the company’s deficit as of end-2025, subject to final audited financial statements and shareholder approval.
In tandem, the board also approved a 1:8 stock split, which will further reduce the par value of shares to P0.10 each. The stock split is expected to improve trading liquidity and make the shares more accessible to investors, a common step ahead of potential fundraising activities.
The company also signaled plans to conduct a follow-on offering (FOO), with the size and pricing to be determined later, subject to regulatory approvals from the Securities and Exchange Commission and the Philippine Stock Exchange.
The planned capital raise suggests the company may be preparing to fund expansion or strengthen its financial position following the restructuring.
Separately, the board approved the filing of a petition with the Securities and Exchange Commission to correct the registration of 165.24 million shares currently under Sofia G. Pagauitan, transferring them to her husband Hilario G. Pagauitan.
The adjustment will consolidate ownership under a single shareholder, in line with the couple’s original intent, while maintaining beneficial ownership within the family.
Taken together, the measures reflect a broader effort by East Coast Vulcan to streamline its capital structure, enhance market liquidity, and create a clearer path for future fundraising initiatives.
