Philippines: Logistics firm LBC Express raises $50m from Crescent Point

Visual from LBC's website

LBC Express Holdings Inc, a listed courier and logistics company in the Philippines, is raising up to $50 million from Singapore-based private equity firm Crescent Point.

LBC Express informed the local bourse that its board of directors approved on Tuesday (June 20) the issuance of a $50-million convertible instrument due on 2024 in favour of CP Briks Pte Ltd, a special purpose vehicle of Crescent Point.

Crescent Point is a China, Southeast Asia and Australia focused private equity and special situations investment firm.

LBC Express made the disclosure following its recent failure in getting approval from the Securities and Exchange Commission to hold a P1.2 billion share sale to fund its expansion.

“The proceeds of the convertible instrument will be used to fund the growth of the business of the company, including capital expenditures and working capital,” LBC Express said in its statement.

Meant to be issued out of the unissued portion of the company’s authorized capital stock, the convertible instrument shall be convertible to shares of LBC Express.

Pending approval of LBC Express’s shareholders, its obligations shall be secured by a third party pledge to be extended by its parent company LBC Development Corporation.

LBC Express entered into an Omnibus Agreement wherein it agreed to issue, and CP Briks agreed to purchase, the LBC convertible instrument, based on certain conditions including the final approval of CP Briks’ investment committee.

In 2016, owners of LBC’s now defunct LBC Development Bank were charged with estafa and violation of the PDIC (Philippine Depository Insurance Corp) Charter or Republic Act No. 3591 by conducting business in an “unsafe and unsound manner.”

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

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Following vacancies can be applied for (only in Singapore).   

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  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.