Singapore Telecommunications’ (Singtel) Philippine associate Globe Telecom has successfully priced its stock rights offering at 1,680 pesos ($41.27) per entitlement right.
Shareholders will receive one entitlement right for every 13.2366 common shares held.
According to Globe Telecom, the price represents a 22.6% discount to the 30-day volume-weighted average price (VWAP) as at Sept 8.
The company will be offering a total of 10.12 million shares, with the ex-rights and record dates being Sept 16 and 21 respectively.
The offer period will start on Oct 3 and end on Oct 7.
The board of Globe Telecom had approved the stock rights offer on June 20. At the time, the company’s principal shareholders Singtel and Ayala Corporation had indicated their support for the offer.
See also: Singtel denies report it is 'exploring options' over Australia unit
Globe Telecom had expected to raise up to 32 billion pesos through the offer. The funds raised will be used to expand the company’s mobile and broadband network as well as repay existing debt.
On Sept 8, 2021, Globe Telecom was mulling the sale of its data centres in a deal that could be worth US$200 million ($279.7 million)
As at 3.43pm, shares in Singtel are trading at $2.73, while shares in Philippine-listed Globe Telecom are trading at 2,130 pesos.
