Megawide Construction Corp. has secured approval from the Securities and Exchange Commission (SEC) to offer up to 20 million preferred shares as part of its fundraising initiative to reduce debt and meet other corporate obligations.
In a regulatory filing on Wednesday, the listed infrastructure company said it has received SEC approval for registration of up to 20 million cumulative, non-voting, non-participating, non-convertible, redeemable (non-reissuable), perpetual Series 7 preferred shares, with an oversubscription option of up to 10 million shares.
The Series 7 Preferred Shares consist of Series 7A Preferred Shares and Series 7B Preferred Shares, each with an initial offering price of P100.
If fully subscribed, the offering is expected to generate net proceeds of up to P2.97 billion, which Megawide intends to use for debt refinancing, partial financing of pipeline projects and general corporate purposes, the company previously said.
Megawide's attributable net income declined 14.6% to P220.79 million in the second quarter due to lower revenues during the period.
During April to June, the company's total revenue fell 28.34% to P4.45 billion from P6.21 billion in the same period last year.
For the six months ended June, the company's net income fell 2.73% to P434.79 million from P447.03 million a year earlier.
The company's shares closed at P3.18, up three centavos or 0.95% on the local bourse on Wednesday. -Ashley Erica O. jose
