Phoenix sets P3.5-B CP issue this week
Published Jul 29, 2019 12:00 am
By Myrna M. Velasco
Uy-led firm Phoenix Petroleum Philippines, Inc. is scheduled to carry out this week the second series of its commercial papers (CP) issuance that targets to fetch P3.5 billion and the proceeds of which will be partly funneled to the company’s targeted expansion projects.
Source:(https://www.phoenixfuels.ph)
The company has tapped the PNB Capital and Investment Corporation as the sole issue manager and lead arranger. The CP issuance commences on July 29 (Monday) at 10 a.m. and will conclude at 5 p.m. on July 31 (Wednesday).
The company said it will “offer to the public in the Philippines the second series of the Commercial Paper Program – under CP Series B – with an aggregate amount of P3.5 billion.” Phoenix Petroleum further indicated “the net proceeds of the issue are intended to be used for working capital requirements and/or to refinance existing short-term loans.
Phoenix Petroleum further noted that “CP Series B shall have a tenor of 360 days from the issue date” –which is reckoned until July 30, 2020. The CP Series B shall be issued in denominations of P1.0 million as a minimum; and in multiples of P100,000 thereafter.
The new CP tender will be part of the two-series P10 billion worth of commercial papers program that the company had registered with the Securities and Exchange Commission (SEC) last year.
Based on approval granted by the SEC, the outstanding amount of the commercial papers to be issued shall not exceed P10 billion; and that “each commercial paper shall have a term of no more than 365 days.”
Commercial paper is a form of unsecured, short-term debt facility that may be issued by a corporation for its funding needs or debt repayments. It is often offered at a discount from face value and issued on prevailing market interest rates.
In Phoenix Petroleum’s case, it issued its Series A-1 and A-2 commercial papers on December 27, 2018 for a total value of P7.0 billion.
The Series A-1 has a term of 180 days for P3.5 billion; while Series A-2 has a term of 360 days for the same amount of P3.5 billion. In June 25 this year, Series A-1 already matured and had so far been repaid by the oil firm.
“Upon the full payment of the CP Series A-1, the remaining balance of the commercial paper program available for the issuance is at P6.5 billion,” the oil firm has qualified.
Phoenix Petroleum is leading the pack of independent players in the deregulated downstream oil industry of the country; and has been aggressively making headway so it can climb notch higher into the league of the so-called “majors” of the sector.
Source:(https://www.phoenixfuels.ph)
The company has tapped the PNB Capital and Investment Corporation as the sole issue manager and lead arranger. The CP issuance commences on July 29 (Monday) at 10 a.m. and will conclude at 5 p.m. on July 31 (Wednesday).
The company said it will “offer to the public in the Philippines the second series of the Commercial Paper Program – under CP Series B – with an aggregate amount of P3.5 billion.” Phoenix Petroleum further indicated “the net proceeds of the issue are intended to be used for working capital requirements and/or to refinance existing short-term loans.
Phoenix Petroleum further noted that “CP Series B shall have a tenor of 360 days from the issue date” –which is reckoned until July 30, 2020. The CP Series B shall be issued in denominations of P1.0 million as a minimum; and in multiples of P100,000 thereafter.
The new CP tender will be part of the two-series P10 billion worth of commercial papers program that the company had registered with the Securities and Exchange Commission (SEC) last year.
Based on approval granted by the SEC, the outstanding amount of the commercial papers to be issued shall not exceed P10 billion; and that “each commercial paper shall have a term of no more than 365 days.”
Commercial paper is a form of unsecured, short-term debt facility that may be issued by a corporation for its funding needs or debt repayments. It is often offered at a discount from face value and issued on prevailing market interest rates.
In Phoenix Petroleum’s case, it issued its Series A-1 and A-2 commercial papers on December 27, 2018 for a total value of P7.0 billion.
The Series A-1 has a term of 180 days for P3.5 billion; while Series A-2 has a term of 360 days for the same amount of P3.5 billion. In June 25 this year, Series A-1 already matured and had so far been repaid by the oil firm.
“Upon the full payment of the CP Series A-1, the remaining balance of the commercial paper program available for the issuance is at P6.5 billion,” the oil firm has qualified.
Phoenix Petroleum is leading the pack of independent players in the deregulated downstream oil industry of the country; and has been aggressively making headway so it can climb notch higher into the league of the so-called “majors” of the sector.