The Philippine Stock Exchange (PSE) suspended trading of Greenergy Holdings Inc. (GREEN) shares for one hour, until 10:30 a.m. on Nov. 22, 2024, after the company disclosed stock subscriptions amounting to P1.55 billion.
In a disclosure to the PSE, the firm said its Board of Directors approved issuing shares to Octagon Concrete Solutions Inc. (P750 million), WRS Holding Inc. (P700 million), and Padang Construction & Supplies Corporation (P100 million).
The shares will come from GREEN's authorized capital stock with a par value of P1.00 per share. The subscriptions will be paid over four years.
Under the subscription agreements, each firm will pay five percent of the subscription price upon signing the agreement, 15 percent on the first anniversary, 20 percent on the second anniversary, and 30 percent each on the third and fourth anniversaries.
“The transactions are intended to raise additional capital for the company and to strengthen its financial capability to fund its various developments and operating projects, as well as acquisitions and future investments,” GREEN said.
However, the PSE said that, “after a careful review of the disclosure submitted by the Company, the Exchange deems the above-mentioned transaction to be covered by the Rule on Additional Listing of Securities under Article V, Part A of the Consolidated Listing and Disclosure Rules of the Exchange.”
“Under the Additional Listing Rule, there are requisite corporate approvals and other requirements (including, but not limited to, the submission of a comprehensive corporate disclosure) that the Company must comply with,” said the bourse adding that it has thus decided to implement the one-hour trading halt.