DMCI to redeem remaining preferred shares

By VG Cabuag - October 2, 2018

https://businessmirror.com.ph/dmci-to-redeem-remaining-preferred-shares/

ENGINEERING conglomerate DMCI Holdings Inc. on Monday said it is redeeming its remaining preferred shares. The offer period will commence later this month through the end of November.

In its disclosure, the company said it is buying the remaining outstanding 3,780 preferred shares at a purchase price of P2,500 apiece. The company will spend P9.45 million from the measure.

“The redemption offer is intended to provide the preferred shareholders a final chance to divest themselves of their preferred shares in view of their previous inability to avail themselves of the exchange offer in 2002,” the company said.

In 2002 the company offered to buy its preferred shares, the type of share with no voting rights in the company but gives out more dividends to the holders.

“The corporation has no plans of launching any other offer to purchase the preferred shares which are not acquired during the offer period,” it said.

The offer period will start on October 8 through November 29.

DMCI earlier said it recorded a 21-percent increase in earnings during the first half of the year to P9.2 billion, from last year’s P7.6 billion, helped by the asset disposal of its property-development arm and the increased activity in its mining units.

Revenues rose 19 percent to P44.2 billion, from P37.1 billion last year.

For the second quarter alone, DMCI’s profits reached P5 billion, up 38 percent from P3.6 billion last year. Consolidated revenues for the second quarter was 31 percent higher to P23.9 billion from P18.3 billion.

“All of our businesses fared well except for our power subsidiaries. The unplanned and prolonged outages of Sem-Calaca Power Corp. and Southwest Luzon Power Generation Corp. cut into the profitability of Semirara Mining and Power Corp.,” company chairman and president Isidro A. Consunji said.

“DMCI Power continues to implement a lower provisional tariff for its Aborlan power plant because its motion for recomputation is still under review with the Energy Regulatory Commission,” he said.