PREMIERE Horizon Alliance Corp. on Monday said it raised P400 million through the placement of exchangeable notes.
The company said in its disclosure to the Philippine Stock Exchange that the amount included an oversubscription of P50 million on top of the P350-million main tranche due to high demand.
“Due to the oversubscription, the company also decided to trigger and complete the placement of P50 million of the P250-million optional tranche that will be used for the initial development initiatives of its Palawan property,” the company said.
With the completion of its exercise, Premiere Horizon said it has already put in place 90 percent of its funding plan of P1.02 billion to finance the rollout and expansion of its current subsidiaries and fund other possible acquisitions.
“The company is now finalizing the last component of its funding plan involving a P90-million stock-rights offer,” it said, adding that it is coordinating with the Securities and Exchange Commission and the Philippine Stock Exchange to complete its documentation.
For its stock-rights offer, the company is offering a total of 199.04 million common shares with a par value of P0.25 per share to eligible shareholders. It is offering one rights share for every 10 common shares held as of record date.
The rights shares will have identical rights and privileges with all existing issued and outstanding common shares of the company, and will be offered at a price of P0.45 per share.
A nil-paid detachable warrant shall also be issued for every rights share. Each warrant shall entitle the holder to subscribe to one Premiere Horizon common share.
The warrants shall be listed simultaneously with the rights shares. The exercise price of the warrants will be P1.20 and may be exercised from January 1, 2018, to December 31, 2018.
Tentative schedule for the offer period is October 5 to 9, with a tentative record date of October 1 and a target listing of October 19.
For the first half of the year, the company said it had a consolidated profit of P69 million from the previous year’s P1.4-million loss.
Revenues for the period reached P501 million more more than 12 times than the P38 million recorded last year.
“The strong revenue showing in the second quarter offsets the loss incurred in the first quarter because of nonoperation of Redstone Construction and Development Corp. due to the mining season,” the company said.
The earnings improvement was also due to the substantial increase in revenue of RCDC and the consolidation of the financials of Goshen Land Capital Inc.