Cemex Philippines begins US$250m stock rights offering

Cemex Holdings Philippines Inc has started the process for its planned US$250m stock rights offering, hoping to finalise it within 1Q20. The Philippine Stock Exchange (PSE) was informed of the stock rights offering on 18 October.

The move was made following the approval of stockholders to increase the company’s authorised capital stock last week. "CHP expects to disclose the terms and conditions of the SRO on a later date as is standard for these types of transactions," said Cemex Holdings Philippines Inc.

Cemex Holdings Philippines's management continues to believe that a capital increase is currently the best option for Cemex Holdings Philippines to improve its capital structure, fully fund the ongoing Solid Cement plant expansion and provide balance sheet flexibility. The Solid Cement expansion is scheduled to be online in the 4Q20.