Citicore Holdings subscribes to Megawide capital hike

MEGAWIDE Construction Corp. said on Thursday that its parent firm Citicore Holdings Investment, Inc. is subscribing to at least 25% or P9 million of the listed infrastructure firm’s increased capital stock.

In a regulatory filing, Megawide said that the subscription will be through the execution of a subscription agreement dated Feb. 15.

“[A] payment of 25% of such subscription, amounting to P2.25 million was received by the Company on December 23, 2022,” the construction company said.

This subscription follows the approval by the Securities and Exchange Commission of the increase in Megawide’s total authorized capital stock to P5.116 billion.

According to the company, it received both the certificate of approval of the increase in capital stock and the certificate of filing of amended articles of incorporation from the SEC on Wednesday.

The increase allows the company to issue an additional 36 million cumulative, non-voting, non-participating, non-convertible, perpetual preferred shares at one peso apiece, from the previous 150 million non-voting shares.

On Nov. 4, 2022, the board of directors of Megawide approved the increase in the company’s authorized capital stock and the amendment of article seven of its articles of incorporation.

On the stock exchange on Thursday, shares in Megawide increased by nine centavos or 2.18% to P4.22 apiece. — Justine Irish D. Tabile