CEBU AIR, Inc., the listed operator of the Cebu Pacific budget airline, revealed Wednesday the final conditions of the stock deal to receive approximately P12,5 billion, partially intended to tackle the effects on its function on the pandemic crisis.

In its announcement, the company claimed that it plans to increase its issuance of preferred convertible securities in P12,499,99,984.

As far as privileges of entitlement are concerned, 328,947,368 preferred non-voting, cumulative convertible securities would be offered, at a price of P38 per share. per share.

  • The annual dividend yield was fixed at 6%.
  • The exchange price per share has been fixed by the firm at P38.
  • The bid cycle starts on 3 March and concludes on 9 March.
  • The provisional listing date was set on 29 March by Cebu Air.

The firm will use the net profits of the bid by offering capital to satisfy its financial obligations, including P4,805 billion in advance repaid by JG Summit Philippines Ltd.; P3,913 billion in the aircraft operating lease installments due in 2021; P3,328 billion in major debt repayments, also due this year.

Out of the P6.77 trillion benefit produced by the same duration in 2019, Cebu Air has incurred net losses of 14.69 billion PM for the first nine months of 2020.


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