The Securities and Exchange Commission (SEC) has approved the P2-billion maiden share offering by Medilines Distributors Incorporated and the P9.55 billion follow-on offering by Sta. Lucia Land, Inc.
In its meeting on October 12, the Commission En Banc resolved to render effective the registration statements of Medilines and Sta. Lucia Land covering 2.75 billion common shares and 3 billion common shares, respectively, subject to certain remaining requirements.
Medilines will offer to the public up to 550 million primary common shares priced up to P2.45 each, plus a secondary offering comprised of up to 275 million shares to be sold by selling shareholder, Virgilio B. Villar.
The shares will be listed and traded on the Main Board of the Philippine Stock Exchange, Inc. (PSE).
The company expects to net P1.28 billion from the sale of the primary shares. It will not receive proceeds from the sale of shares by the selling shareholder, which could amount to P641.2 million.
Proceeds from the offer will be used to finance the company’s working capital in relation to the procurement of existing products and the build-up of its medical consumables inventory, as well as to repay debt.
The initial public offering is scheduled to run from November 11 to 17, in time for their debut on the PSE on November 25, based on the latest timetable submitted to the SEC.
The company engaged PNB Capital and Investment Corporation as the sole issue manager, lead underwriter, and sole bookrunner for the offer.
Meanwhile, Sta. Lucia Land will offer to the public up to 2.5 billion common shares with an offer price ranging from P2.38 to P3.29 per share, with an oversubscription option of up to 500 million common shares. The shares will be listed and traded on the Main Board of the PSE.
Net proceeds from the offer could reach up to P9.55 billion, assuming the oversubscription option is fully exercised.
The company will use proceeds from the offer for capital expenditures of new and ongoing projects, payment of short-term debt, strategic land banking, and general corporate purposes.
The follow-on offering is slated to run from November 10 to 19, with the shares to be listed on the PSE on November 26, according to the latest timetable submitted to the SEC.
Sta. Lucia Land tapped China Bank Capital Corporation as the sole issue manager, lead underwriter, and sole bookrunner for the offer.