THE Philippine Stock Exchange, Inc. (PSE) said Top Line Business Development Corp. has become the fastest newly listed company to return to the capital markets through a follow-on offering (FOO), completing the transaction 14 months after its initial public offering (IPO).
The Cebu-based fuel distributor and retailer listed its Series A-1 and Series A-2 perpetual preferred shares on the PSE on June 26 under the ticker symbols TOPA1 and TOPA2.
Top Line debuted on the local bourse in April 2025.
PSE President and Chief Executive Officer Ramon S. Monzon said the offering marked the shortest interval between an IPO and a post-IPO FOO by a newly listed company in the exchange’s history.
“This FOO comes just 14 months after Top Line’s stock market debut, marking the shortest timeframe in PSE history for a newly listed company to conduct a post-IPO FOO. This highlights a key benefit of being publicly traded: the ability to tap public markets for future capital,” he said during the company’s ceremonial bell-ringing on Monday.
“The Series A preferred shares offer one of the most competitive dividend rates in the FOO space, with yields reaching up to 9.6%. In fact, it is the highest rate we have seen for FOO preferred shares since 1994, making it a great option for investors looking for substantial yield on their investments,” Mr. Monzon added.
Top Line raised P1.5 billion from its oversubscribed FOO of perpetual preferred shares.
The offering consisted of P1 billion in firm shares, equivalent to 10 million perpetual preferred shares, and an oversubscription option of up to P500 million, or 5 million additional preferred shares.
The TOPA1 preferred shares carry an initial dividend rate of 9.1325%, while TOPA2 carries an initial dividend rate of 9.5981%.
The company said the proceeds will fund its expansion and vertical integration strategy, including investments in fuel importation and storage infrastructure.
Up to P1 billion of the proceeds has been earmarked for working capital to support petroleum product importation, including fuel purchases, shipping, freight, and related expenses.
About P440 million will be used to construct and renovate a fuel depot with a storage capacity of up to 40 million liters, while the remaining proceeds will be allocated for general corporate purposes.
Shares of Top Line rose 2.63% to P1.56 each on Monday. — Alexandria Grace C. Magno
