Ramon S. Ang-led Petron Corp. is raising USD 550 million (PHP 31.4 billion) through a perpetual bond program in Singapore, allowing investors to exchange existing notes or subscribe to new ones.

The program covers Petron’s senior perpetual capital securities issued in April 2021 and listed on the Singapore Exchange (SGX). Holders may exchange some or all of their existing securities for an equal amount of new U.S. dollar-denominated senior perpetual capital securities with accrued distributions, or tender them for cash, subject to a maximum acceptance amount. Any securities repurchased will be cancelled, reducing the company’s outstanding debt.

Petron said it is also conducting a concurrent issuance of new perpetual bonds in Singapore to attract fresh investors. Proceeds will be used to refinance obligations and reinforce its capital structure, supporting operations across its fuel, refining, and retail businesses.

“The company is undertaking the exchange and tender offer as part of a proactive approach to the strategic management of its capital structure and to extend the maturity profile in respect of its outstanding obligations,” Petron said in its regulatory filing.

The exchange and tender offer period began on September 4 and will run until September 12, 2025, unless extended, withdrawn, or terminated earlier.

Do you think more Philippine firms should tap international bond markets to proactively manage their capital structures?

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