The board of Phoenix Petroleum Philippines approved the issuance of P2 billion worth of preferred shares through a private placement.
“We would like to announce that the company’s board of directors has approved the subscription of 2,000,000 preferred shares via private placement at issue price of P1,000 per share,” Phoenix said in a disclosure Wednesday.
Phoenix said RCBC Capital Corp. would be the issue manager and underwriter.
“The proceeds shall be used to finance capital expenditure and working capital requirements. This issuance is exempt transaction under Section 10(k) of the RA No. 8799 otherwise known as the Securities Regulation Code,” it said.
The private placement is different from the company’s previously approved issuance of P5 billion worth of perpetual preferred shares.
“We are redeeming P500 million preferred shares this December. We will issue up to P5 billion next year [using unissued, authorized share inventory],” Phoenix Petroleum vice president for external affairs Raymond Zorrilla said earlier.