The Philippine Stock Exchange approved the P7-billion preferred shares offering of Phoenix Petroleum Philippines Inc.
The indicative term sheet filed by Phoenix with the PSE showed the company led by Davao-based businessman Dennis Uy planned to sell 5 million preferred shares, with an over-allotment option for another 2 million preferred shares at P1,000 apiece.
It said the dividend rate on Oct. 17 and the offer period on Oct. 21 to 29.
The non-voting and non-convertible preferred shares will be listed under the main board of the PSE on Nov. 7.
Chinabank Capital Corp. is the sole issue manager and sole book runner while PNB Capital is a joint lead underwriter for the offering.
The net proceeds from the offering will be used for depot and network expansion and improvement and reimbursement of the cash advances related to the company’s recent overseas ventures.
Phoenix, the country’s fourth largest oil company, opened it 650th fuel station in the Philippines in September. The group is also expanding overseas.
Phoenix acquired a 75-percent equity interest in Origin LPG (Vietnam) Limited Liability Company, a company engaged in LPG marketing and distribution in Vietnam in February this year.
PNX Petroleum Singapore Pte. Ltd., a wholly-owned subsidiary of Phoenix, also recently signed a partnership with Singapore-based Hengyi Industries International Pte. Ltd. for an LPG off-take venture in Brunei.
Phoenix signed a memorandum of understanding with Philippine National Oil Co. and CNOOC Gas and Power., a subsidiary of China National Offshore Oil Corp., to explore and discuss business opportunities and cooperation in relation to their equity investments in Tanglawan Philippines LNG Inc.