Premiere Horizon to raise million from shareholders

Premiere Horizon Alliance Corporation (PHA) is raising R340 million from a stock rights offering as well as a top up offering to fund its cooling solutions business and development of a property in Palawan.

In a disclosure to the Philippine Stock Exchange, PHA said its board has approved a stock rights offering of 199.05 million shares at R0.45 per share or a total of R89.57 million.

To come with nil-paid detachable warrants, the shares are being offered to eligible shareholders, on a preemptive rights basis of 1 Rights Share for every 10 common shares held as of Record Date.

Each nil-paid detachable warrant shall entitle the holder to subscribe to one PHA common share. The warrants shall be listed simultaneously with the Rights Shares. The exercise price of the warrants will be R1.20 and may be exercised from January 1, 2018 to December 31, 2018.

Tentative schedule for the offer period is October 5 to 9, 2015 with a tentative record date of October 1 and a target listing of October 19, 2015.

In addition to the Stock Rights Offer, the PHA Board also approved an additional 150 million warrants to be offered to existing investors in connection with the option to increase the offering of Exchangeable Notes by an additional R250 million or a top-up offering of up to the same targeted amount.

The warrants will have the same terms and conditions as the warrants issued from the stock rights offering.

Asian Alliance Investment Corporation is the company’s underwriter with Philippine Business Bank as the receiving agent.

“The proceeds from the offer will be used mainly for the capital expenditures of CUBES, a 51 percent subsidiary, as well as the expenses for development of PHA’s Palawan property,” PHA said.

PHA completed its acquisition of a 51 percent stake in Concepts Unplugged Business Environment Solutions, Inc. (CUBES) last February for a total of R80 million.