THE Philippine Stock Exchange (PSE) approved the P4-billion follow-on offering (FOO) of Megawide Construction Corp. on Friday, just hours after the company also received the go signal from the Securities and Exchange Commission.

“The exchange approved the application of [Megawide] for the listing of up to 40,000,000 preferred shares, subject of the [FOO] of the company, at an offer price of P100 per offer share,” the PSE said in a listing notice.

Megawide’s base offering consists of 30 million Series 4 preferred shares, with an overallotment option of 10 million Series 4 preferred shares. It may raise up to P4 billion in proceeds should the overallotment option be exercised.

The listed engineering and construction development firm plans to use the net proceeds from the offer to redeem its Series 1 preferred shares due on Dec. 3.

Its offer period will run from Oct. 13 to 19, while its tentative listing date is set on Oct. 29. The offer shares will be listed under the ticker symbol, “MWP4.”

“The exchange’s approval of the listing of the MWP4 Shares is subject to the company’s compliance with all of the conditions and post-approval requirements of the exchange,” the PSE said.

Megawide engaged RCBC Capital Corp. as the sole issue manager, lead underwriter, and bookrunner for the offer, while PNB Capital and Investment Corp. was assigned co-lead underwriter.

On Friday, shares of Megawide at the stock exchange closed higher by 0.48% or three centavos to finish at P6.28 apiece. — Keren Concepcion G. Valmonte