ANI to raise at least P5 B for capex

AgriNurture Inc., the publicly-listed agribusiness firm led by Antonio Tiu, is pushing through with its planned P280 million stock rights offering (SRO) as part of plans to raise around P5 billion for its expansion program.
In an interview, Tiu said ANI will soon submit to regulators the final prospectus for its stock rights offering at the rate of one rights share for every 2.5 shares held.
The SRO, to be underwritten by Abacus Capital and Investment Corporation, had been delayed due to the pandemic. It was approved by the firm’s Board of Directors in February 2020.
Tiu said ANI will also be availing of a P2 billion loan from the Development Bank of the Philippines to fund its planned development of a P2.6 billion, 20,000-hectare corn plantation in Bansalan, Davao del Sur.
The firm also plans to sell a yet undetermined amount of shares to a new investor who will be subscribing to shares that will make a strategic minority shareholder of ANI.
ANI is also looking at raising about $50 million from a planned issuance of green bonds. The plan was also delayed due to the Covid-19 pandemic which disrupted most business activities.
Tiu said the green bond issuance will be undertaken after the firm completes its stock rights offering and the private placement of shares to the prospective strategic investors.
He noted that, preparations for both fund-raisers, the SRO and green bond issuance, have already been done prior to the pandemic.
“All these funds will be used for capital expenditures that will help ANI achieve its goal to be the top agri company in the Philippines,” said Tiu.
He added that, “Currently, we’re not the largest. Our topline now is just over P4 billion and this is equivalent to our best years 10 years ago before I suffered my crisis in life. So it’s a U-shaped recovery. And now that I have put 100 percent of my attention on ANI, it’s high time for it to take off after the headwinds.”