Philex defers Php3.15B SRO

Manny V. Pangilinan-led Philex Mining Corporation has deferred its Php3.15 billion stock rights offering (SRO) amid volatility in the financial markets.

In a disclosure to the Philippine Stock Exchange on Friday, Philex and its issue manager and lead underwriter BDO Capital & Investment Corporation agreed to adjust the timetable of the SRO “to a later date given the current market volatility to help ensure its success.”

The Securities and Exchange Commission (SEC) approved the SRO in January, covering up to 842 million common shares.

Under the SRO, Philex would offer the shares with a maximum price of Php4.81 apiece.

Proceeds from the SRO will be utilized for the development of the Silangan Copper and Gold Project through wholly-owned subsidiaries Silangan Mindanao Exploration Co. Inc. and Silangan Mindanao Mining Company Inc.

Philex Mining earlier said that they won’t be pursuing open-pit mining for the Silangan project in Surigao del Norte. The first phase, worth $224 million, is targeted to be completed by 2024 or 2025.