Cirtek raises $67m in share sale

Cirtek Holdings Philippines Inc. said Thursday it raised $67 million in fresh capital from the issuance of dollar-denominated preferred shares.

Cirtek said in a disclosure to the stock exchange a total of 67 million dollar preferred shares were subscribed at the end of offer period on Nov. 29.

The company earlier planned to raise $200 million from the sale of 200 million preferred shares with a base offer of 120 million and another 80 million shares for oversubscription.

After a book building process, the offer size was reduced to 140 million shares, of which 60 million was the base offer and another 80 million for oversubscription.

The preferred shares carry a dividend rate of 6.125 percent to be paid quarterly in the first five years. If the preferred shares are not redeemed in five years, the dividend rate will rise to 9.125 percent.

The shares were offered at $1 each at a minimum subscription of $1,000, and thereafter, increments of $100.  

Tentative listing date on the Philippine Stock Exchange was set on Dec. 8.  BPI Capital Corp. and RCBC Capital Corp. are the underwriters of the deal.

Cirtek said net proceeds from the fund raising activity would be used to pay debt incurred when it acquired US-based Quintel and to fund strategic acquisitions to substantially drive revenues of the US-based station antenna manufacturer in the next five years. Jenniffer B. Austria

Cirtek earlier announced plans to list Quintel, one of the leading base station antenna suppliers in the US on the Nasdaq Stock Market within five years. 

Topics: Cirtek Holdings Philippines Inc
COMMENT DISCLAIMER: Reader comments posted on this Web site are not in any way endorsed by Manila Standard. Comments are views by readers who exercise their right to free expression and they do not necessarily represent or reflect the position or viewpoint of While reserving this publication’s right to delete comments that are deemed offensive, indecent or inconsistent with Manila Standard editorial standards, Manila Standard may not be held liable for any false information posted by readers in this comments section.
AdvertisementGMA-Congress Trivia 1