A significant financial maneuver is underway as a major telecommunications firm has priced a P25-billion share offering, dividing it into two distinct series. These preferred shares, designated Series A and Series B, are designed to attract investors with annual yields of 6.1179% and 6.7631% respectively.
The offering comprises 12.5 million non-voting preferred shares, each priced at P2,000. This includes an initial allocation of 7.5 million shares, with an additional 5 million available should demand exceed expectations.
The structure is deliberately tiered: Series “A” shares offer a consistent 6.1179% annual dividend, while Series “B” shares provide a slightly higher initial return of 6.7631% per annum. This dual approach aims to cater to a broader range of investor preferences.
If fully subscribed, the offering is projected to generate a substantial P25 billion in capital. This influx of funds is strategically earmarked for two key objectives: the redemption of existing perpetual capital securities and the bolstering of the company’s capital expenditure program.
A consortium of financial institutions is managing the offering, led by BPI Capital Corp., BDO Capital & Investment Corp., and China Bank Capital Corp. First Metro Investment Corp. and Security Bank Capital Investment Corp. are also playing crucial roles as underwriters and bookrunners.
The offering period is scheduled to run from February 13th to 20th, with the anticipated issue date set for March 2, 2026. This timeline provides a clear pathway for investors to participate in this financial undertaking.
Looking ahead to 2026, the company anticipates a return to growth, forecasting low- to mid-single-digit revenue increases. This projection follows a period of contraction in 2025, signaling a strategic shift towards renewed expansion.
Recent financial reports reveal a 4.12% decrease in net income for 2025, settling at P23.3 billion compared to P24.3 billion the previous year. This decline was attributed to increased depreciation, higher interest expenses, and a reduction in overall revenues.
Despite these recent challenges, the company remains committed to a disciplined approach to capital expenditure, aiming to keep investments below $1 billion. The focus is now on maximizing returns from existing network infrastructure while strategically continuing network expansion.
Trading activity on the stock exchange saw the company’s shares close unchanged at P1,730 apiece on the day of the announcement, reflecting a measured market response to the unfolding financial developments.
