PAL beats PSE deadline on 10% public float rule

 Economy
Jun 272013
 

MANILA, Philippines – The parent firm of flag carrier Philippine Airlines (PAL) – jointly owned by taipan Lucio Tan and diversified conglomerate San Miguel Corp. (SMC) – has complied with the 10-percent minimum public float requirement of the Philippine Stock Exchange (PSE).

In a disclosure, PAL Holdings Inc. assistant corporate secretary Ma. Cecilia Pesayco said the company has issued 2.415 billion common shares with a par value of P1 per share, or a total consideration of P2.415 billion to certain investors via private placement.

Pesayco said the total amount of the transaction was placed at P2.415 billion or about 34.5 percent of the planned P7- billion increase in the company’s authorized capital to P30 billion from P23 billion.

The PSE suspended the trading of seven firms including PAL Holdings last January due to their failure to meet the required minimum public ownership level of 10 percent. It has given these companies until the end of the month to comply with the public float requirement otherwise they would be delisted from the bourse.

PAL has a public float of just 0.55 percent. With the private placement, the company’s public float is now over 10 percent.

PAL Holdings is seeking the green light from the Securities and Exchange Commission (SEC) to beef up its capital stock to comply with PSE’s minimum public ownership requirement.

Business ( Article MRec ), pagematch: 1, sectionmatch: 1

Pesayco said the additional capital would be sold to investors to comply with the 10-percent minimum public ownership set by the PSE.

PAL Holdings has until the end of the month to comply with the requirement otherwise it would be delisted from the stock exchange.

 “The said application for increase in capital was filed by the company in order to accommodate the respective subscriptions of independent investors to shares of stock of the company, and consequently, to comply with the minimum public ownership requirement of the Exchange,” Pesayco said.

PAL president and chief operating officer Ramon S. Ang said earlier the company would comply with the minimum public float via a share sale through Tan-owned Philippine National Bank (PNB).

Since SMC acquired a 49- percent stake in PAL Holdings worth $500 million in April last year, the national flag carrier embarked on an aggressive re-fleeting program aimed at acquiring 100 new aircraft.

Robinsons Retail Group firms up P40-B IPO plan

 Economy
Jun 202013
 
Robinsons Retail Group firms up P40-B IPO plan

MANILA, Philippines –  The Gokongwei family’s Robinsons Retail Group has firmed up its plan to raise as much as P40 billion through an initial public offering (IPO). The company behind Robinsons supermarkets and department stores plans to conduct potentially one of the largest public share sale by a Philippine firm, said International Financing Review (IFR), a publication of Thomson Reuters. IFR reported that Robinsons Retail Group targets to sell 461.9 million shares at a maximum price of P86.64 each to generate up to P40 billion in fresh capital. Robinsons Retail’s listing application was not immediately available at the Securities and Exchange Commission The retail group of property giant Robinsons Land Corp. claims to be the country’s second largest retailer, next only to SM Retail Inc. of the Philippines’ richest man Henry Sy. Robinsons Retail Group owns and operates 35 department stores and 73 supermarkets nationwide. The IPO is scheduled in the third quarter, IFR said, adding that Deutsche Bank, JP Morgan and UBS were tapped to facilitate the offering. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 The aggressive fundraising program, which comes at a time when the local stock market is being battered by massive foreign fund selling could be one of the largest share sale by a Filipino company. In April, LT Group Inc. of taipan Lucio Tan raised a record P37.72 billion in a follow-on offering while SM Investments Corp. secured P28.75 billion during its IPO in 2005. Since hitting its 31st record high for the Read More …

Lucio Tan holding firm hikes Q1 profit to P3.8B

 Economy
May 212013
 
Lucio Tan holding firm hikes Q1 profit to P3.8B

MANILA, Philippines – The investment holding firm of taipan Lucio Tan grew its profits to nearly P4 billion in the first quarter, driven by its banking and property units. In a regulatory filing, LT Group said its net income climbed 36 percent to P3.8 billion. Consolidated earnings surged 53 percent to P5.8 billion “on the back of the strong performance of the conglomerate’s banking and property segments,” the company said. Revenues picked up 14 percent to P17.7 billion “due to higher revenues from banking, distilled spirits and property development, which offset the revenue drop in the beverage and tobacco sectors,” LT Group said. Specifically, Philippine National Bank (PNB) doubled its profits to P3.7 billion in the first quarter from P1.8 billion a year ago. Revenues of PNB, which merged with Allied Bank to create the country’s fourth largest bank in February, jumped 22 percent to P10.3 billion. Real estate unit Eton Properties Philippines Inc.’s profits surged to P127.5 million from P19 million last year as revenues almost doubled to P1.16 billion from P560 million. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 “The increase in revenues is mainly attributed to higher percentage of completion of Eton’s residential and condominium units as well as higher leasing revenues from commercial projects,” LT Group said.