| ABOITIZ Power Co. has priced its 1.739-billion primary shares offer at between P5.25 to P6.25 apiece when it goes public next month. The shares will be offered to domestic and foreign investors.
The stock exchange said Tuesday, the price range was relayed through legal counsel by Aboitiz Power’s sole global coordinator and bookrunner UBS Investment Bank.
Aboitiz Power expects to generate between P9.12 to P10.86 billion from the initial public offering. The firm will use the money to fund the upgrade of existing power generation and distribution facilities, capacity expansion and development of greenfield or new power projects.
The final price for the shares, however, will be announced on June 30. The listing is set for July 16.
Apart from the primary shares, an over-allotment of up to 260,869,565 common shares has been earmarked in case of higher demand.
From the primary shares, 1,217,391,305 will be sold to international investors while the remaining 521,739,130 common shares will go to domestic buyers.
Aboitiz Power is a wholly-owned unit of Cebu-based conglomerate Aboitiz Equity Ventures, a publicly traded firm with interest in banking, shipping, power distribution and generation and food concerns.
Meanwhile, Phoenix Petroleum Philippines Inc., another company going public next month, is eyeing to generate P176.32 to P327.70 million from the sale of 29 million primary shares. The company is basing the proceeds from an offer price of P6.08 to P11.30 per share.
Final price for Phoenix shares will be set on Thursday.
The money from the offering will be used to support the company’s capital expenditure program this year and next amounting to P257.27 million.
Part of its plan is to establish 115 more retail service stations in the country to strengthen its position in the nine-year-old deregulated oil industry.
In an interview, Phoenix president Dennis Uy said 25 stations will be added this year, followed by 90 stations spread over 2008 to 2010. The Davao-based oil trading firm currently operates 25 stations in the south.
Apart from the sale of new shares, is the sale of 7.25 million shares by the company’s shareholder Udenna Corp. at the same price range. This is part and parcel of the Phoenix shares offer. Proceeds amounting to P44.08 million to P81.92 million from the sale of these shares would go directly to Udenna.
Phoenix will commence the domestic offer period from June 27 to July 3. A tentative listing date has been set for July 11.
| 
No comments:
Post a Comment