SAAVEDRA-led Megawide Construction Corp. secured the approval of the Securities and Exchange Commission (SEC) for its planned capital increase.

The SEC approved Megawide’s increase in total authorized capital stock to P5.180 billion from P5.116 billion on Jan. 7, the company said in a regulatory filing on Wednesday.

Megawide also secured the corporate regulator’s approval for the increase in its authorized capital stock of preferred shares to 250 million from 186 million.

The increase in capital will allow Megawide to issue an additional 64 million cumulative, non-voting, non-participating, non-convertible, perpetual preferred shares with a par value of P1 per share.

Megawide also said that its parent company, Citicore Holdings Investment Inc., subscribed to at least 25% of the additional capital.

For the first nine months, Megawide’s net income increased by 69% to P562 million as revenue grew by 7.2% to P16.3 billion.

The construction segment took up P15.5 billion, or 96%, of consolidated revenues due to increased economic activities and the government’s infrastructure buildup.

Megawide shares fell by 2.44%, or six centavos, to P2.40 per share on Wednesday. — Revin Mikhael D. Ochave