PSE revises timetable of stock rights offer

The Philippine Stock Exchange Inc. (PSE) is revising the timetable of its stock rights offering due to unfavorable market conditions.

The local bourse announced yesterday a new schedule for its stock rights offering aimed to fund its acquisition of the Philippine Dealing System (PDS), “given the unfavorable global market conditions affecting the domestic capital market.”

In its disclosure, the PSE said the offer period would now run from March 12 to 16, with listing date on March 22.

The PSE said the offer price would be determined on Feb. 23.

The offering was initially scheduled to run from Feb. 26 to March 2.

The country’s stock market operator will be offering 11.5 million shares to fund the acquisition of PDS as well as its capital expenditure requirements.

Just last Monday, the PSE, in a statement, said it was on track with its scheduled stock rights offering which was undertaken to reduce the brokers’ ownership in the exchange to the 20 percent limit mandated by the Securities Regulation Code.

“With our stock rights offering proceeding within schedule, we hope to finally get the exemptive relief from the SEC for our acquisition of PDS. The consolidation of the equities and fixed income markets will result in a bigger and more efficient capital markets for the country,” PSE president and CEO Ramon Monzon earlier said.

The SEC has previously thumbed down PSE’s request for exemptive relief from the 20 percent limit on ownership of an exchange.