THE Securities and Exchange Commission (SEC) has approved the planned bond offering of Saavedra-led infrastructure conglomerate Megawide Construction Corp. worth up to P5 billion.
The commission en banc rendered effective the registration statement of Megawide’s bond offer during a meeting on June 18, the SEC said in an e-mailed statement on Wednesday.
Megawide’s bond offer will consist of up to P4 billion of fixed-rate bonds with an oversubscription option of up to P1 billion.
The bond offer will be made up of series C bonds due 2027, series D bonds due 2029, and series E bonds due 2031.
Megawide expects to generate P4.93 billion worth of net proceeds from the offer, assuming that the oversubscription option is fully exercised.
“Proceeds will be used for the refinancing of the company’s existing debt obligations and funding of business development opportunities, as well as other general purposes,” the SEC said.
Based on Megawide’s latest timetable sent to the SEC, the bonds will be offered at face value from June 24 to July 3, with listing at the Philippine Dealing & Exchange Corp. set on July 11.
Megawide has tapped PNB Capital and Investment Corp., RCBC Capital Corp., and SB Capital Investment Corp. as the joint issue managers, joint lead underwriters, and bookrunners for the offer.
For the first quarter, Megawide recorded P183.4 million in consolidated net income, a turnaround from the P7.4-million net loss last year. Consolidated revenue increased by 19% to P5.2 billion.
Megawide shares rose by 0.33% or one centavo to close at P3.06 apiece on Wednesday. — Revin Mikhael D. Ochave
