AEV reports successful $100-million share sale
Aboitiz Equity Ventures, Inc.’s recent private sale of 68.331 million treasury shares was oversubscribed and met with heavy demand from investors optimistic in the company’s outlook and business strategy.
“Overall, the private placement was well received. It was 1.7x oversubscribed, with 65% of the demand coming from foreign investors. We see this as a clear sign of the trust and confidence that the investment community has in our future and our ability to deliver on our commitments,” said Erramon I. Aboitiz, AEV President and Chief Executive Officer.
Last August 3, the AEV board disclosed it decided to sell a total of 68.33 million AEV common shares held in treasury via private placement at P74.25 apiece, raising approximately $100 million in additional equity and giving AEV the additional capacity to fund growth initiatives and investment opportunities as they arise.
AEV appointed UBS AG to act as Placement Agent and Bookrunner for the private placement.
“The Aboitiz Group’s growth journey over the past couple of decades has been characterized by prudence and preparedness. In recent months, we have been seeing a lot of opportunities, both at home and in the region. While our balance sheet and our capacity to raise money through the debt markets remain strong, the AEV Board has decided to be prudent and prepare the company for further growth,” Aboitiz said.
For 2016, AEV has allotted P58.4 billion in capital expenditures, a bulk of which (P52 billion) is earmarked for power expansion projects under AboitizPower. Together with its partners, AboitizPower is committed to increase its total capacity to 4,000 MW nationwide by 2020.
