Oil company Petron Corp. announced that P14 billion had been raised initial tranche of its preferred shares offering.
In a statement, Petron said the initial base offer, which was made between June 15 and June 27, was oversubscribed by P1.5 billion.
Based on its notice, Petron said P5 billion Series 4A preferred shares were sold, together with P2.995 billion Series 4B and P6.005 billion Series 4C preferred shares.
The funds raised, according to earlier statements by Petron, will be used to redeem senior perpetual capital instruments issued in 2018.
Petron reported a net income of P3.4 billion for the first quarter, slightly lower than the P3.6 billion it earned during the same period last year, in part because of higher financing costs, in May.
The development of Petron's own Coco-Methyl Ester (CME) unit in its Petron Bataan Refinery Complex is one of the company's major ongoing projects.
Once finished, the CME factory will enable the business to make its own CME.
“With this project, we aim to achieve greater self-sufficiency, and produce renewable fuel from plant-based components. This will help ensure the stability of supply and quality of CME for our world-class diesel fuel,” Petron said.
Petron has filed with the Securities and Exchange Commission a notice of completion of the offer last June 27.
