The Market Monitor Minding the Nation's Business
By Riza Lozada
Pilipinas Shell Petroleum Corp. (PSPC) alloted a total of 27.5 million shares for purchase of local small investors (LSI) under the Local Small Investors Program, and 55 million common shares have been allocated for purchase through trading participants of the Philippine Stock Exchange, Inc. (PSE) in the company’s initial public offering (IPO).
The company expects to raise as much as P19.5 billion from the IPO. PSPC intends to use the net proceeds from the offering to capital expenditure, working capital and general corporate expenses. PSPC opened the sale of its shares for LSIs from October 19 to 25. Each share is priced at P67.
For LSIs, each individual investor may apply to purchase at least 100 shares and in an increasing increment of 10 shares thereafter with a maximum of 1,490 shares. Applications forms are available and may be submitted in various receiving centers in Makati, Binondo, Quezon City, Laguna, Angeles City, Cebu, Davao City, Cagayan De Oro. Purchase forms will also be distributed in 105 selected Shell retail stations.Forms can also be downloaded at www.pilipinas.shell.com.ph.
Other vital information can also be found in that website.Interested investors may also visit www.bpitrade.com for details.Shell’s shares are expected to be listed on the PSE board under the ticker symbol “SHLPH” on Nov. 3.
Meanwhile, the initial public offering and listing of the shares is in compliance with the Oil Deregulation Law of 1998, which requires oil refiners to list at list 10 percent of their shares in the local stock market.Edgar Chua, Shell Philippines country chairman, said the company deferred the listing since 1998 to wait for the best opportunity for the float.He said in 1998, the country and the oil industry were under a crisis.
”It was only in 2015 when we got the support of all shareholders.
We thought that now is the time to list the company,” he said.