Aznar Shipping earmarks P 504M for new vessels
Aznar Shipping Corp. plans to spend nearly P504 million of its initial public offering (IPO) proceeds to acquire two new vessels as it expands capacity across the Visayas.
The Cebu-based company expects to raise as much as P670 million in gross proceeds by offering up to one billion primary common shares at a maximum price of P0.67 each.
In its preliminary prospectus, Aznar said it would allocate P503.71 million, or 78.6 percent of its estimated net proceeds, for fleet expansion.
This represents the biggest chunk of the P640.86 million it expects to raise on a net basis from the offering.
The shipping company intends to acquire two brand-new International Association of Classification Societies (IACS)-class RoRoPax vessels from overseas.
The vessels are expected to be deployed across Aznar’s existing and new routes by the second half of 2027.
They will be similar in size and configuration to the company’s newest vessels to ensure compatibility with the ports it currently serves.
Aznar said the additional vessels would allow it to increase the number of trips on existing routes and accommodate higher passenger and cargo volumes.
“As of the date of this prospectus, the company owns 10 operating vessels consisting of four RoRo vessels and six RoRoPax vessels. The fleet serves short-haul inter-island routes and is compatible with the port infrastructure of the Visayas Region,” the company said.
The firm also plans to keep its expansion within the Visayas even as it prepares to raise fresh capital from an IPO, betting there are still enough opportunities in its home market.
Aznar currently operates five primary routes across 10 ports of call.
