Petron raises $550M from securities

PETRON Corp. has raised $550 million (P26.6 billion) after issuing US dollardenominated undated unsubordinated capital securities.

In a disclosure, the listed oil company said it “has completed today the issuance of US dollar

undated unsubordinated capital securities with an issue size of $550 million.”

These securities have been listed with the Singapore Exchange Securities Trading Limited on Tuesday.

Petron has issued these securities for the repayment of indebtedness and for general corporate purposes.

The listed firm commissioned Hongkong and Shanghai Banking Corp. Ltd. (HSBC) as the sole global coordinator for the planned issuance while DBS Bank Ltd., HSBC, MUFG Securities Asia Ltd., SMBC Nikko Capital Markets Ltd., Standard Chartered Bank and UBS AG Singapore Branch were the joint lead managers and joint bookrunners.

It also tapped BDO Capital & Investment Corp., China Bank Capital Corp., and PNB Capital and Investment Corp. as domestic lead managers.

Petron had disclosed its plan to resume operations of the 180,000-barrel-per-day refinery located in Limay, Bataan, next month.

Petron sustained a net loss of P11.4 billion in 2020 against the P2.3-billion net income booked a year ago.

The oil company had said it is looking forward to a significant demand recovery this year.

To date, Petron had 2,435 retail service stations across the Philippines. Its liquefied petroleum gas network includes about 1,117 branch stores as well as 44 car care centers.

Petron shares fell by 2 centavos, or 0.63 percent to end at P3.16 each on Tuesday.