NOW Corp. is now raising its approved capital stock to P1.86 billion to collect capital spending funds.
In a disclosure to the stock market on Monday, the company said its board of directors”unanimously” declared the increase in its authorized capital stock to P1.86 billion in P1.50 billion.
The capital stock will comprise of 2.57 billion common shares with a par value of P0.70 each and 60 million redeemable, convertible, non-participating, and non-voting preferred shares without detachable warrants with a par value of P1 per share.”
The dividend rate of the preferred stocks shall be fixed by the board of supervisors. The contributors to this preferred shares shall be qualified for the payment of money,” Now Corp. explained.
The company said that the increase in authorized capital stock will likely probably soon be”for capital expenditures, working capital, along with other general company uses in addition to extra investment in an affiliate.”
In an earlier disclosure, Now Corp. said it had partnered with Vietnam’s Viettel Business Solutions Corp. to offer information and communications technology (ICT) products and services from the nation.
The Philippines is Viettel’s 11th overseas market, according to Now Corp. The two companies will be exploring opportunities in digital transformation consulting solutions, artificial intelligence, data analytics, and cybersecurity.
Now Corp announced last month that the National Telecommunications Commission (NTC) extended its provisional ability to install, operate, and maintain a nationwide mobile telecommunications program.
The extension isn’t unique to 3G mobile communications technologies, but can extend to 4G and 5G technology, the company stated.
The NTC explained the expansion comes with conditions, which include the infusion of additional capital of at least P1.9 billion based on the company’s initial two years’ funds expenditure of P6.3 billion as submitted and approved by the Securities and Exchange Commission.