PHINMA firms up P1-billion stock rights offer


Del Rosario-led PHINMA Corporation has secured the necessary approvals for its stock rights offering of up to P1 billion to better fuel its investment and expansion endeavors.

In a disclosure to the Philippine Stock Exchange (PSE), PHINMA said the Securities and Exchange Commission (SEC) issued the notice confirming that the P1-billion transaction is exempt from the registration requirements under the Securities Regulation Code on Oct. 16, 2024. 

Meanwhile, the PSE approved the listing of the rights shares under the SRO on Oct. 21, 2024. The PSE also approved the indicative timetable of the SRO activities of the company. 

The firm is offering up to 51.49 million shares to existing shareholders at the rate of one offer share for every 5.56 to 6.17 common shares held at P19.42 to P21.55 per share. The offer price will be subject to final pricing, set on Oct. 31, 2024.

Based on the indicative timetable, the offer period will run from Nov. 13 to 19, 2024 and the listing date will be tentatively on Nov. 27, 2024.

“PHINMA is committed to investing in businesses that deliver both strong returns for our shareholders and tangible benefits to society,” said PHINMA Chief Financial Officer Edmund Alan A. Qua Hiansen. 

He added that “this stock rights offering will fuel our growth, strengthen our balance sheet and empower us to make an even greater impact on Filipino families and communities.”

PHINMA will use the proceeds to support initiatives of the PHINMA Construction Materials Group, particularly PHINMA Solar’s (Green Energy Auction Program (GEAP) projects and Philcement’s modern cement manufacturing plant in Davao del Norte. 

The SRO will also boost PHINMA Properties’ projects in emerging cities like Bacolod, Cebu, Iloilo and Davao and PHINMA Hospitality’s new TRYP by Wyndham hotel in the group’s newly launched Bacolod township Saludad.

The offer will likewise bolster the group’s new ventures such as the Union Insulated Panel Corp.’s state-of-the-art facility in Porac, Pampanga and other opportunities to uplift the underserved market through socialized housing, food security, healthcare, and the green industry. The balance, if any, will be for general corporate purposes. 

AB Capital & Investment Corporation will serve as the issue manager, book runner, and lead underwriter for the transaction.