SEC okays par value cut of Metrobank shares

The Securities and Exchange Commission (SEC) recently approved the reduction of the par value of Metrobank shares from P100 to P20 per share and corresponding increase of the bank’s common shares from 500 million to 2.5 billion.

With this development, each share will be split into five shares, thus, existing Metrobank shareholders will get five shares for every share they own. The total par value of shares owned by a shareholder remains the same.

According to Metrobank president Antonio S. Abacan Jr., "The par value reduction is aimed at encouraging small and new investors, whether individual or corporate, to own Metrobank shares."

This move will give Metrobank shares greater liquidity and the resulting lower price will make the stock more attractive. Thus, more active trading of the shares can be expected. The value reduction took effect last March 7 with the price per share adjusting to P43 at the Philippine Stock Exchange (PSE).

Shareholders of Metrobank are requested to have their stock certificate replaced with new certificates reflecting the increased number of shares under their names on or before April 15, 2002 at the Metrobank Trust Banking Group at the 18th floor of GT Tower International at the corner of Ayala Ave. and H.V. dela Costa St., Makati City. For further inquiries, call Francisco Ilao at tel. 858-8010.

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