The Philippines’ largest canned food company Century Pacific Food Inc (CNPF) has allocated P439 million ($9.96 million) of the P3.2 billion ($75.6 million) funds raised through its initial public offering (IPO) to its new storage facilities.
CNPF disclosed to the stock exchange that the company’s board of directors has approved the reallocation of the partial IPO gains originally intended for the construction of a tin can factory in General Santos City, and the completion of a new dairy and mixes plant in Taguig City.
Prior to the IPO, CNPF said the factories were partially funded by operating cash in order to fast-track their completion.”Both plants are now currently fully operational. The tin can factory in General Santos was also completed below its expected budget,” CNPF said in its statement, noting the latter is expected to become commercial by the first quarter of 2016.
A wholly-owned subsidiary of Century Canning Corporation, CNPF made its debut in the local stock market in May 6, 2014 raising P3.2 billion via the sale of 230 million shares at P13.75 apiece. Its IPO was 3.5 times oversubscribed.
CNPF is the maker of brands Century Tuna, Argentina Corned Beef, 555 Sardines, Angel, and Birch Tree.
Singapore’s sovereign wealth fund, GIC through Arran Investment Private Ltd has extended a P3.4 billion ($77.1 million) loan to it’s parent company,Century Canning Corporation. The loan is convertible to 250 million issued and outstanding shares of CNPF. Arran is an affiliate of GIC Private Ltd, one of the world’s largest fund management companies with assets under management of over $100 billion.
CNPF’s last traded price on Monday was at P18.80.
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