Petrolift plans P3.5-B IPO

Petrolift Inc., one of the major oil and gas tankering companies in the country, is planning to raise up to P3.5 billion from the maiden offering of its shares to the public.

The Petrolift Group operates a fleet of petroleum and LPG tankers that transports petroleum products, liquefied petroleum gas (LPG) and chemicals to major ports and depots in the country. Its clients include leading oil players  Petron Corp. Pilipinas Shell Corp., and Chevron.

In a statement, Petrolift said it will sell a total of 456.75 million shares through a primary and secondary offering, representing 25 to 35 percent of the total issued and outstanding capital stock of the company after the initial public offering (IPO).

BDO Capital and Investment Corp. has been tapped as the issue manager and lead underwriter for the IPO.

 Petrolift said proceeds from the offering will be used to acquire tanker vessels, upgrade its existing fleet of tankers to double-hull, and purchase dry bulk carriers and heavy equipment for mining logistics. 

“The IPO would provide the company more flexibility to upgrade its existing fleet, as well as enter into other profitable and viable markets,” Petrolift said.

This funding raising activity is also in preparation for the impending implementation of an International Marine Organization (IMO) regulation accelerating the shift to double-hull ships from single-hull by 2008.