PSEi slips, Metrobank falls on share sale plan

The local stock barometer slipped on Wednesday, tracking the correction across regional equities and also weighed down by the decline of Metrobank on the heels of a new share sale program.

The main-share Philippine Stock Exchange index (PSEi) shed 16.14 points or 0.18 percent to close at 8,848.99.

Reversing early gains, the PSEi succumbed to regional profit-taking and was likewise dragged by Metrobank and its parent conglomerate GT Capital, which fell by 7.76 percent and 5.92 percent, respectively.

Metrobank was sold down after announcing a stock rights offering plan which is estimated by analysts to amount to over P70 billion, boosting its capital ratios but likewise cutting down return on equity.

By sector, the financial counter fell by 1.88 percent because of Metrobank’s decline. The mining/oil and property counters also weakened.

On the other hand, the industrial, holding firm and services counters firmed up.

Total value turnover amounted to P9.64 billion. There were 120 decliners that edged out 92 advancers while 49 stocks were unchanged.

Aside from Ty-led companies, Ayala Land and Security Bank both fell by over 1 percent while BDO, SM Investments and BPI also slipped.

Outside of the PSEi, one notable decliner was PXP, which slid by 4.89 percent.

On the other hand, URC gained 2.05 percent while PLDT and Metro pacific both rose by over 1 percent. Ayala Corp., SM Prime, DMCI and Semirara also gained.

Non-PSEi stock Megawide was among the notable gainers, rising by 2.27 percent in relatively heavy trade. The construction firm had taken in state-controlled Social Security System as a minority investor and potential partner in key infrastructure projects, such as to submit an unsolicited proposal to rehabilitate the Ninoy Aquino International Airport.