Jollibee gets SEC nod to sell P 12-B preferred shares

Billionaire Tony Tan Caktiong’s Jollibee Foods Corp. (JFC) obtained the green light from the Securities and Exchange Commission (SEC) to sell up to P12 billion worth of preferred shares.

The fast-food giant, which owns iconic homegrown brands such as Jollibee and Mang Inasal, said in a stock exchange filing the SEC had issued a permit allowing it to proceed with the offer of 8 million preferred shares and an oversubscription option for another 4 million shares at P1,000 each.

According to its prospectus, the offer period will run from Sept. 28 to Oct. 4 while the target date for Philippine Stock Exchange listing was set for Oct. 14 this year.

The offer is part of the 20 million nonvoting, nonparticipating, nonconvertible, redeemable, peso-denominated perpetual preferred shares that could be issued over a three-year shelf registration period.

JFC said the upcoming sale would be divided into Series A and Series B shares under the stock symbols “JFCPA” and “JFCPB.”

Series A would carry a fixed dividend rate of 3.28 percent per annum for the first three years, after which JFC would have to pay higher rates based on the prevailing seven-year benchmark plus a spread of 4 percentage points.

Series B would carry a dividend rate of 4.24 percent per annum for the first five years, after which JFC would have to pay higher rates based on the 10-year benchmark plus a spread of 4 percentage points.

JFC had mandated BPI Capital Corp. as issue manager. The joint lead underwriters and bookrunners are BDO Capital & Investment Corp., BPI Capital Corp., China Bank Capital Corp. and SB Capital Investment Corp.

—Miguel R. Camus INQ

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