Petron Raised ₱14-B From Preferred Share Offering

Industry leader Petron Corp. (PCOR) has raised P14 billion from its offering of preferred shares which were listed recently at the Philippine Stock Exchange (PSE).

Photo Insert: Petron may offer the preferred shares in several tranches within a period of three years.

The firm said in a disclosure to the Philippine Stock Exchange (PSE) the initial base offer of P12.5 billion was oversubscribed by P1.5 billion affirming the positive and continued support of institutional and retail investors for Petron.

Dividend rates per annum on the preferred shares are: 6.7079% p.a. for Series 4A, 6.7972% p.a. for Series 4B, and 7.0861% p.a. for Series 4C. The company’s preferred shares were publicly offered from June 15 to June 27, 2023.

In an earlier disclosure, the company had announced that the amount raised will be used to redeem Petron’s Senior Perpetual Capital Securities issued in 2018.

Petron partnered with China Bank Capital Corp. as sole issue manager, and Bank of Commerce, China Bank Capital Corp., Philippine Commercial Capital, Inc., PNB Capital and Investment Corp., and SB Capital Investment Corp. as joint lead underwriters and joint bookrunners.

It also partnered with First Metro Investment Corp. to be its selling agent. The Securities and Exchange Commission (SEC) approved last June the shelf registration by Petron of up to 50 million Series 4 preferred shares worth P50 billion.

Petron may offer the preferred shares in several tranches within a period of three years. For the first tranche, the company offered 12.5 million preferred shares at an issue price of P1,000 each, with an oversubscription option of 10 million preferred shares.

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