Overall Shariah list unchanged at 56 stocks
The number of publicly listed firms that conform to Islamic laws in the fourth quarter of 2016 remained at 56 after four companies were added while four others were removed from Philippine Stock Exchange (PSE) quarterly list of Shariah-compliant shares.
The PSE said it added Dizon Copper Silver Mines Inc., DoubleDragon Properties Corp., Philex Mining Corp. and Pilipinas Shell Petroleum Corp. in the latest Shariah index.
Taken off the index were Cirtek Holdings Philippines Corp., Del Monte Philippines Limited, Italpinas Development Corp. and the recently delisted Liberty Telecoms Holdings Inc.
As of end-December 2016, the Shariah compliant firms were Abra Mining and Industrial Corp., Acesite (Philippines) Hotel Corp., Apex Mining Company Inc., Araneta Properties Inc., Asian Terminals Inc., ATN Holdings Inc. “A,” ATN Holding Inc. “B”, Cemex Holdings Philippines Inc., Centro Escolar University, Century Peak Metals Holdings Corp., Concepcion Industrial Corp., Crown Asia Chemicals Corp., D&L Industries Inc., Da Vinci Capital Holdings Inc., DMCI Holdings Inc., DoubleDragon Properties Corp., Easycall Communications Philippines Inc., Far Eastern University Inc., Global Ferronickel Holdings Inc., Golden Haven Memorial Park Inc. and Holcim Philippines Inc.
The other stocks that were retained were Ionics Inc., iPeople Inc., IPM Holdings Inc., IRC Properties Inc., Island Information & Technology Inc., Jollibee Foods Corp., LBC Express Holdings Inc., Lepanto Consolidated Mining Company “A”, Lepanto Consolidated Mining Company “B”, Liberty Flour Mills Inc., Mabuhay Vinyl Corp., MacroAsia Corp.; Manila Electric Company, Marcventures Holdings Inc., Nickel Asia Corp., Oriental Peninsula Resources Group Inc. and Philex Mining Corp.
Capping off the list were Philippine Realty and Holdings Corp., Pilipinas Shell Petroleum Corp., Primex Corp., PTFC Redevelopment Corp., PXP Energy Corp., RFM Corp., SBS Philippines Corp., Semirara Mining and Power Corp., Starmalls Inc., STI Education Systems Holdings Inc., Swift Foods Inc., United Paragon Mining Corp., Universal Robina Corp., Vitarich Corp., Vivant Corp., Wellex Industries Inc. and Xurpas Inc.
Shariah-compliant companies must derive no more than 5 percent of revenue from prohibited businesses, the PSE said, which include conventional interest-based lending, financial institutions, insurance, mortgage and lease, derivatives, pork, alcohol, tobacco, arms and weapons, embryonic stem-cell research, hotel, gambling, casinos, music, cinema and adult entertainment.
Their interest-bearing debt, deposits and investment should not exceed 30 percent of the 12-month trailing average market capitalization, and Accounts receivables should not also exceed 67 percent of the 12-month of the same benchmark.
The exchange intends to attract some of the untapped $1.3 trillion pf global Islamic funds, which include Shariah-compliant equity funds across the globe.
The PSE quarterly list of Shariah compliant stocks started in December 2013.