NEWS

By Doris Dumlao-Abadilla | Philippine Daily Inquirer | March 5, 2025 8:04PM

Megawide CEO Edgar Saavedra – Contributed photo

MANILA, Philippines — Megawide Construction Corp. is coming back to the local capital market this March as the Philippine Stock Exchange (PSE) has cleared its follow-on offering of preferred shares worth as much as P6 billion.

In an offering circular posted by the PSE on Wednesday, the local bourse said its board had approved the application of Megawide to sell to the public as much as 60 million perpetual series 6 preferred shares from March 26 to April 4.

The preferred shares will be sold for P100 each. They will be non-voting, non-convertible and redeemable. They are perpetual but Megawide has the option to redeem on the fifth, seventh or 10th year depending on the batch (series 6A, 6B or 6C). Otherwise, Megawide will have to pay a higher dividend rate.

Setting of dividend rates will be on March 21, while listing on the PSE is tentatively set for April 14.

PNB Capital and Investment Corp., RCBC Capital Corp. and Security Bank Capital Investment Corp. were tapped as joint issue managers, joint lead underwriters and joint bookrunners for the offer.

The base offer — the portion with firm commitment from underwriters — consists of 30 million Series 6 preferred shares. In case of strong demand, the offer can be upsized by another 30 million preferred shares.

Proceeds will be used to partially fund pipeline projects, redemption of shares and general corporate purposes.

Megawide, led by tycoon Edgar Saavedra, has set aside P1.8 billion in capital outlays this year. Half of the amount will go to its real estate venture under PH1 World Developers Inc.

The Securities and Exchange Commission earlier cleared the planned offering.

Source: Philippine Daily Inquirer

.