AYALA Group’s semiconductor arm Integrated Micro-Electronics Inc. (IMI) said its board of directors, in a meeting on Wednesday, had approved the increase in the company’s authorized capital stock to P3 billion from P2.5 billion.
In a disclosure, the company said the increase would further support IMI’s “business development initiatives and operational expenses.”
“This will be presented to our stockholders for approval at their annual meeting on April 13, 2018,” it said.
IMI currently has a capital stock of P2.45 billion, consisting of 2.25 million common shares and 200 million preferred shares, both with par value of P1.00 each. This will be raised to P3 billion, consisting of 2.8 billion common shares and 200 million preferred shares, at the same par value of P1.00 each.
The company’s planned stocks right offer of up to 350 million new common shares to raise P5 billion was approved by the Philippine Stock Exchange earlier this month. Proceeds will be used to finance its capital expenditure requirements and for debt financing.
IMI capped off 2017 with a record-high revenues of $1.09 billion aided by income from recent acquisitions and the strong performance of its automotive and industrial businesses. Net income for the full year jumped 21 percent to $34 million.
The company is a unit of AC Industrial Technology Holdings, which is a wholly owned subsidiary of Ayala Corp.