Philodrill Corporation, a publicly-listed holding company and oil exploration firm controlled by the Ramos family, has decided to extend the subscription call for the P175.21 million balance on subscriptions to its 2009 stock rights offering (SRO) by one more year.
In a disclosure to the Philippine Stock Exchange (PSE), the firm said its Board of Directors approved the extension on the subscription call for the 50 percent balance on subscriptions to the 2009 SRO, which may be called for payment by the Board of Directors at any time, on or before Dec. 31, 2025.
As of Nov. 30, 2024, the 50 percent balance on the subscriptions receivable from the 2009 SRO amounts to P175.21 million.
In 2009, Philodrill offered for subscription (SRO) 38.37 billion new common shares with a par value of P0.01 per share to all stockholders of record as of Oct. 16, 2008. The SRO commenced from Jan. 15, 2009, 9 a.m. until Feb. 11, 2009 at 12 noon.
An eligible stockholder was entitled to subscribe to one offer share for every four common shares held as of the record date at an offer price of P0.01 per share.
At least 25 percent of the subscription price shall be payable upon subscription; another 25 percent shall be payable after 60 days from the end of the offer period, and the balance upon call by the Board of Directors not later than Dec. 31, 2009.
The Dec. 31, 2009 deadline was extended further as the Galoc field started producing. During that time, the company had a positive cash flow, there was no need for additional funds to cover operating expenses.
“In the recent years, with the Company’s prudent measures implemented, it was able to sustain opex without needing to call on the subscription payments,” Philodrill said.
It noted that “as the Board continue to weigh in on the current situation with delays in the implementation of some of the Company's projects and with no immediate need for liquidity, the Board has decided to further extend the subscription call period to at any time, on or before December 31, 2025.”
Philodrill was incorporated on June 26, 1969 with the primary purpose of engaging in oil, gas, and mineral exploration and development.
In 1989, realizing the need to balance the risk associated with its petroleum activities, the firm changed its primary purpose to that of a diversified holding company while retaining petroleum and mineral exploration and development as one of its secondary purposes.
Thereafter, the company has maintained investments in petroleum exploration and production, financial services, property development, mining and infrastructure development.
On Jan. 16, 2008, the stockholders of Philodrill approved to change the Company's primary purpose back to petroleum exploration and development and include as a secondary purpose the holding company purpose clause, which the Securities and Exchange Commission (SEC) approved on April 13, 2009.
The company's active petroleum projects cover production and exploration areas in offshore Palawan and onshore Mindoro under various service contracts with the Philippine government through the Department of Energy.
Philodrill is a 40 percent shareholder of Penta Capital Investment Corporation, an investment house which holds equity interest in Penta Capital Holdings Inc. (PCHI), an investment holding company (29.54 percent-owned).
Philodrill also holds a 13.21 percent direct equity investment in PCHI and a 0.53 percent equity interest in Atlas Consolidated Mining Development Corporation.