Each warrant is priced at P0.50 and allows holders to buy one AGI share later at a fixed P12 price within the next five years.
Key details
A warrant is a financial instrument that gives investors the right, but not the obligation, to purchase company shares at a set price within a specific period.
The offer is open only to existing AGI shareholders as of the record date on November 20, 2025, with eligible investors entitled to one warrant for every four AGI shares they own.
The offer period runs from Dec. 4 -11, with issuance set for Dec. 19, 2025. BDO Capital was tapped as sole issue manager and underwriter.
The Tan family's Andresons Group, AGI’s largest shareholder with 54.09 percent ownership, has pledged to fully subscribe to its allocation and any remaining warrants to ensure the offer is fully taken up.
AGI gives investors a chance to bet on future growth
The offer lets shareholders gain exposure to AGI’s potential price upside with a smaller cash outlay than buying shares outright. AGI’s portfolio includes Megaworld Corp., Emperador Inc., Travellers International Hotel Group, and a 50 percent stake in McDonald’s Philippines.
Each warrant costs P0.50 and gives the holder the right to buy an AGI share at P12 until its expiration on Dec. 19, 2030. Investors who exercise must still pay P12 per share, and the warrants will expire worthless if the stock never reaches that level.
How does it work?
AGI shares are currently trading around P7 each.
For example, an investor who buys 1,000 warrants spends P500 upfront (at P0.50 each) for the right to buy 1,000 AGI shares later at P12 per share. Buying 1,000 AGI shares today at P7 would cost P7,000, but provide immediate ownership and dividends.
If the stock rises to P15, the warrant holder can exercise and earn a P3,000 profit on a P500 investment after paying the P12,000 conversion cost. A direct shareholder would make a larger P8,000 gain, but only after a much bigger initial outlay of P7,000.
If the stock never rises above P12 by expiration, the warrant holder would lose the P500 paid.
—Edited by Miguel R. Camus
