UNICAPITAL SUPPORTS PBB IN COMPLETING PHP500.0 MILLION SRO
Unicapital, Inc. recently completed the PhP500.0 million stock rights offering of Philippine Business Bank, the commercial bank founded by businessman Alfredo M. Yao which ranks among the country’s largest commercial banks in terms of loan portfolio and capitalization.
On March 31, 2023, PBB raised PhP500.0 million from its stock rights offering which was offered to all eligible shareholders during the offer period from March 17 to 23, 2023. The SRO was priced at PhP10.00 per share.
The SRO forms part of PBB’s ₱1.75 billion capital raise which also comprises the ₱1.25 billion private placement (PP) by the Yao Family and Zest-O Corporation last January 10, 2023. The shares for the SRO and the PP will be issued out of PBB’s ₱5.0 billion increase in authorized capital stock (ACS) which was approved by the Securities and Exchange Commission (SEC) on January 19, 2023.
The SRO proceeds increases PBB’s capitalization and enhance the bank’s ability to develop its loan portfolio and explore opportunities as the economy recovers. Out of the ₱487.8 million net SRO proceeds, PBB intends to invest ₱243.9 million or 50.0% in government securities and/or corporate bonds and allot ₱243.9 million towards loan requirements.
For this transaction, Unicapital, Inc. served as Sole Issue Manager and Underwriter.
Unicapital is a leading independent full-service investment house that offers a wide array of financial services. Focusing on the SME market, Unicapital helps clients achieve greater success by offering multiple funding solutions to suit our clients’ needs. Unicapital, Inc. has over 20 years’ experience in the Philippine capital markets and have been a part in various debt and equity transactions.