Bank of Commerce capital stock hike to finance upgrade of services
11/27/2009 | 08:03 PM
Stockholders of the Bank of Commerce (BOC), the Philippines’ 15th largest lender, approved its capital stock hike, allowing it to finance the installation of new cash machines and upgrade its internet services.
San Miguel Properties Inc. (SMPI), which owns 51 percent of the lender, said the bank’s authorized capital will be raised to 100 million common shares from 60 million, SMPI said in a statement submitted to the Philippine Stock Exchange (PSE).
The capital increase will also finance point-of-sale payment systems, cash management services, and other technology-driven products, said the property unit of San Miguel Corp.
Total capital is expected to reach P12.9 billion this year, the lender said.
Of this figure, P10.2 billion is the current capital amount. An estimated P1.49 billion will come from its outstanding Tier-2 capital qualifying unsecured subordinated notes.
Payments for ownership in common shares amounting to P1.13 billion are also expected to be made this year, further boosting its capital stock.
An estimated P7 billion in Tier-1 capital will also be bought and paid during the next twelve months, the company said.
By end-2010, the bank’s total capital is expected to reach P18.5 billion.
“The expanded capital will enable the bank to leverage further and amplify its assets portfolio, anchored on its lending and trading businesses," the bank said.
Shares of SMPI stayed unchanged at P38.50 each during Friday's trading at the PSE. - RJAB Jr., GMANews.TV
San Miguel Properties Inc. (SMPI), which owns 51 percent of the lender, said the bank’s authorized capital will be raised to 100 million common shares from 60 million, SMPI said in a statement submitted to the Philippine Stock Exchange (PSE).
The capital increase will also finance point-of-sale payment systems, cash management services, and other technology-driven products, said the property unit of San Miguel Corp.
Total capital is expected to reach P12.9 billion this year, the lender said.
Of this figure, P10.2 billion is the current capital amount. An estimated P1.49 billion will come from its outstanding Tier-2 capital qualifying unsecured subordinated notes.
Payments for ownership in common shares amounting to P1.13 billion are also expected to be made this year, further boosting its capital stock.
An estimated P7 billion in Tier-1 capital will also be bought and paid during the next twelve months, the company said.
By end-2010, the bank’s total capital is expected to reach P18.5 billion.
“The expanded capital will enable the bank to leverage further and amplify its assets portfolio, anchored on its lending and trading businesses," the bank said.
Shares of SMPI stayed unchanged at P38.50 each during Friday's trading at the PSE. - RJAB Jr., GMANews.TV
