MANILA, the Philippines--(BUSINESS WIRE)--Roxas and Company, Inc. (RCI) is pleased to announce the signing of a Php800 Million equity placement commitment with LDA Capital, LLC, a US and European based global investment group. This equity placement commitment is part of RCI’s fund-raising activities for additional working capital and to support the reduction of bank debts.

Under this agreement, RCI has the right, but not the obligation, to sell shares to LDA subject to the conditions of the Put Option Agreement (“POA”). RCI will control the timing and maximum amount of the POA and may sell up to PhP800 Million worth of RCI treasury shares during the 36 months from signing of the Agreement.

LDA will also be given a Call Option to purchase up to 99,000,000 common shares of RCI at an exercise price of PhP2.38/share, exercisable any time during the term of the Agreement.

The equity placement commitment provides a natural hedge against the uncertainty and volatility of a public markets offer, and as such, demonstrates the “Staying Power” of RCI and its subsidiaries during this pandemic induced downturn.

The President/CEO of RCI, Fernando Gaspar, said

“RCI has opted for this alternative funding activity because it provides the company with the flexibility to raise cash as needed while at the same time protecting the interests of the Company and its shareholders because all transactions will be done through the Philippine Stock Exchange.This agreement with LDA demonstrates that RCI remains an attractive investment despite the current uncertainties worldwide.”

Warren Baker, Managing Partner of LDA Capital, said

“The global impact of the COVID-19 pandemic is causing uncertainty in all aspects of our lives and has created a difficult environment for middle market companies to access equity and debt financing.

LDA believes middle market companies are the growth engine of emerging Asia and we are focused on supporting companies through flexible and complementary financing instruments. Through our 3-year equity commitment we are pleased to provide long term financial support to a great business like RCI, and to reassure RCI shareholders and customers of the stability and long-term financial strength of the Company.”

About LDA Capital

LDA Capital is a global alternative investment group with expertise in complex, cross border transactions worldwide. Our team has dedicated their careers to international & cross border opportunities having collectively executed over 200 transactions in both the public and private markets across 42 countries with aggregate transaction values of over US$10 billion. For more information please visit: www.ldacap.com; For inquires please email: [email protected]

About Roxas and Company, Inc.

Roxas & Company, Inc. (RCI) is a publicly listed holding company with stakes in (i) real estate development and hospitality through its wholly-owned subsidiary, Roxaco Land Corporation (RLC), (ii) sugar milling and ethanol manufacturing businesses of Roxas Holdings, Inc. (RHI), (iii) coconut processing and exports through its subsidiary, Roxas-Sigma Agriventures, Inc. (RSAI) and (iv) renewable energy development. RCI has been in existence for over 100 years, starting off in the sugar business but has since then diversified its business interests to other industries. For more information, please visit RCI’s website: www.roxascompany.com.ph

Contacts

Roxas and Company, Inc.

Monica Villanueva, Investor Relations Officer

Email: [email protected]
Phone: +632 8810-8901 to 06