Global Ferronickel Holdings Inc. is pushing through with its planned P1 billion share sale this month.
GNFI said in a revised timetable submitted to the Philippine Stock Exchange it would offer the sale of up to 250 million common shares from July 9 to 13 at a price of up to P4 apiece. The listing date is tentatively set on July 20.
GFNI in May deferred the follow-on offering due to a review of its updated prospectus and audited financial statements by the Securities and Exchange Commission the company plans to use the net proceeds from the offering to partially pay the outstanding loan of unit Platinum Group Metals Corp. from Taiwan Cooperative Bank and for working capital purposes to fund the operations in the Cagdianao Mine in Surigao del Norte.
Abacus Capital and Investments Corp. will serve as the underwriter of the fundraising activity.
GFNI, through PGMC, is the third largest nickel ore producer in the Philippines by volume of nickel shipped and the largest nickel ore producer in the Philippines by the value of shipment.
It is also one of the largest single-mine lateritic exporters in the world and one of the biggest global suppliers of nickel ore, accounting for 12.6 percent of the country’s production. The company is currently exploring opportunities in mineral processing.
GNFI last month said PGMC signed a supply contract with Baiyin International Investment Ltd. for the delivery of 1.1 million wet metric tonnes of nickel ore throughout 2018.
The purchase agreement covers a full range of products from low grade to high-grade ore.
Baiyin International is a unit of China state-owned company Baiyin Nonferrous Group Co. Ltd., which is principally engaged in the production and sale of nonferrous metals and operation of smelting and chemical businesses.
PGMC operates the Cagdianao Mine Project covering 4,376 hectares in Sitio Kinalablaban, Barangay Cagdianao Claver, Surigao del Norte province.