AYALA Corp. (AC) plans to re-issue up to P15 billion worth of preferred class B shares, it told the stock exchange Friday.
The listed conglomerate said in a disclosure that its board of directors has ratified the resolution of its Finance Committee for the re-issuance of the preferred class B shares. This consists of a base of P10 billion, with an oversubscription option of up to P5 billion.
“The terms of the re-issuance of the preferred class B shares will be disclosed in due course,” the company said.
The plan followed AC’s redemption of Class B Series 2 Preferred shares that will take effect on Nov. 5, or the fifth anniversary from the issuance of the securities.
The shares will be redeemed at P500 each, plus accrued and unpaid dividends at a rate of 5.575% per annum until the redemption date.
AC said the redemption will decrease the number of foreign shareholders of its preferred shares.
AC’s net income attributable to the parent surged 105% to P37.84 billion in the first half of 2019, mainly from the sale of its equity investments in the energy and education businesses. Gross revenues meanwhile went up two percent to P137.51 billion.
Shares in AC dropped 0.11% or P1 to close at P908 each at the stock exchange on Friday. — Arra B. Francia