Publicly listed holding company Lodestar Investment Holdings Corp., formerly a mining firm, is on the block as a vehicle for backdoor listing as it prepares to expand its capital base to allow for the entry of a future investor, possibly involved in the business of digital assets.

In a disclosure to the Philippine Stock Exchange (PSE), the firm said its board of directors has approved the amendment of its articles of incorporation to allow the corporation to invest and deal in digital assets.

However, it will do this “without engaging in the business of a crypto asset service provider or virtual asset service provider (as defined under relevant laws and regulations).”

Lodestar will also increase its authorized capital stock from ₱300 million, divided into three billion shares with par value of ₱0.10 per share, to ₱3 billion, divided into 30 billion shares with par value of ₱0.10 per share.

The firm’s board also authorized the “issuance of shares of up to the entire increase in the authorized capital stock of the corporation (₱2.7 billion) to new investors and/or existing stockholders at an issue price at least equal to the par value of the shares, subject to applicable laws, rules and regulations.”

For the capital increase to be approved, only 6.25 percent of that ₱2.7-billion hike, or ₱168.75 million, has to be paid up with a minimum of ₱675 million subscribed.

However, Lodestar said, “The corporation is not in talks with anyone for the additional authorized capital stock subscriptions as of this time. The corporation undertakes to update the investing public on any developments regarding this matter.”

It explained that the increase in authorized capital is a “preliminary move to allow the corporation flexibility and the ability to execute any subscription if and when a new investor is identified.”