SEC OKs Petrolift capital hike before IPO

The Securities and Exchange Commission has approved oil and gas tankering firm Petrolift Inc.'s application to increase its capital from P400 million to P2.1 billion, prior to its planned initial public offering. In a statement, Petrolift said the P1.7 billion-increase consists of 1.7 billion shares with a par value of P1 each. The company has reduced the par value of their shares to P1 from P100. Lawrence Leonio, Petrolift Inc. president, said the SEC approval will pave the way for the company's plans to raise more funds for its expansion. Petrolift has filed an application to the SEC as well as to the Philippine Stock Exchange to raise as much as P3.5 billion via initial public offering. The firm said proceeds from the IPO will be used by the company to acquire more double-hulled tanker vessels, convert existing tankers to double hull and acquire dry bulk carriers and heavy equipment for mining logistics. The company registered 456.75 million shares to be sold at a maximum offer price of P7.65 each. BDO Capital and Investment Corp. has been tapped as the issue manager and lead underwriter for the planned IPO. - Cheryl Arcibal, GMANews.TV