Domestic shipping line Chelsea Logistics Holdings Corporation (CLC) will list its shares on the Philippine Stock Exchange (PSE) at P10.68 apiece on August 8.
The new listing date follows the approval of the Securities and Exchange Commission (SEC) on July 11 of the company’s initial public offering (IPO), which involves 546.593 million in new common shares, comprising 30% of the company’s 1.821 billion outstanding common shares.
The final price of P10.68 each is 37% lower than the maximum P14.63 per share previously announced. CLC is looking to raise P5.84 billion in its stock market debut from the initial target of P8 billion.
The shares will be offered from July 24-31.
The net proceeds will be used to acquire new vessels and vessel equipment, port facilities, containers and terminal equipment, and other shipping and logistics companies, as well as for general corporate purposes.
CLC was created in 2006 to support the operations of Phoenix Petroleum, formerly Davao Oil Terminal and Services Corporation. Both companies are owned by Udenna Corporation, a holding firm of Davao-based businessman Dennis Uy.
CLC recently signed a US$220-million bridge loan agreement with Bank of China, intending to use the borrowed money to acquire a 32% stake in integrated transport solutions company 2GO Group, Inc.
Uy said 2GO would complement CLC’s shipping operations.
Chelsea has 34 vessels, composed of 11 tankers, four barges, three cargo boats, six tugboats, and 10 roll-on/roll-off vessels.
Image courtesy of cooldesign at FreeDigitalPhotos.net
