Philippine Business Bank (PBB) plans to raise an additional P500 million through a stock rights offering (SRO) to existing shareholders as it seeks to become a universal bank within two years.
PBB will offer one rights share for every 4.6428 common shares held by existing shareholders as of March 10, with the SRO running from March 17 to 23 and the tentative listing date set for March 31.
The bank is offering up to 50 million common shares at P10 per share.
“The proceeds from the SRO will be primarily used to increase the equity to comply with the minimum capital requirement for a universal bank license and for other general corporate purposes including but not limited to investments in government securities or corporate bonds, loans requirements, maintenance of capital expenditures, operating expenses, and other opportunities,” the bank said.
This follows as the bank raised P1.25 billion via private placement of 125 million shares last year.
PBB was founded in 1997 with a focus on thrift banking.
Today, PBB offers a variety of banking services and products, such as cash management, retail and corporate lending, deposit products, international trade finance, and treasury and trust products.
