BASIC ENERGY Corp. (BSC) is doubling its authorized capital stock to P5 billion from P2.5 billion.

In a disclosure to the stock exchange on Monday, the company said its stockholders had approved the increase in its authorized capital stock to P5 billion.

The capital stock will comprise 20 billion shares with a par value of P0.25 per share and the “waiver by a majority stockholders of the mandatory rights offer requirement” of the Philippine Stock Exchange’s listing rules for the listing of shares issued out of the increase in the authorized capital stock.

In an earlier disclosure, the company said that for the period ending June 30, it recorded a total revenue of P2.73 million and total cost and expenses of P24.82 million, which resulted in a net loss of P22.09 million.

The company said its total assets as of June 30 stood at P573.05 million, a decrease of P27.52 million from P600.58 million as of Dec. 31 last year.

“Current assets, composed mostly of cash and cash equivalents amounting to P94.88 million, receivables amounting to P35.23 million, refundable deposits amounting to P22.53 million, and other current assets amounting to P2.93 million, decreased by P11.78 million, as these were used for operations,” the company said.

It added that its non-current assets decreased by P15.75 million, primarily due to the decrease in financial assets at fair value through other comprehensive income (FVOCI) amounting to P17.5 million.

The company’s total liabilities decreased by P11.26 million from P42.85 million as of Dec. 31 last year to P31.58 million as of June 30 this year.

It said the decrease was primarily due to the “partial payment of the accrued retirement benefit payable.”

The listed firm’s stockholders’ equity as of June 30 stood at P550.83 million, a decrease of P15.98 million from P566.81 million as of December last year.

“This was primarily due to the net loss booked for the first half of 2020 of P21.81 million and increased in cumulative translation adjustment of P5.33 million,” it said.

Shares in Basic Energy on Monday closed 3.81% higher at P0.218 apiece.

Source: https://www.bworldonline.com/basic-energy-stockholders-okay-hike-in-authorized-capital-to-p5b/