MANILA - Global Ferronickel Holdings Inc, the Philippines' No. 3 nickel producer by output, confirmed on Thursday that it cut the size of a planned follow-on share sale but said it was keeping its price guidance at a maximum of 4.38 pesos per share.
Reuters reported on Wednesday, quoting IFR, that Global Ferronickel had cut the size of the offering to $300 million to $400 million from an initial target of $600 million.
The maximum price guidance represents a premium of about 90 percent to Wednesday's closing price. The stock was up 0.4 percent at 2.30 pesos by noon break.
In its revised filing to the Securities and Exchange Commission on Wednesday, the company said it would offer up to 3.082 billion new common shares and up to 1.472 billion secondary shares, with an over-allotment option of up to 424.6 million shares.
The primary offering could raise as much as $300 million, a portion of which will be used to acquire, explore and develop a nickel project in southwestern Philippine province of Palawan, the company said.