PHILIPPINE Stock Exchange (PSE) has given Robinsons Land Corp. (RLC) the greenlight to proceed with a stock rights offering worth up to P20 billion.
In a disclosure to the stock exchange on Friday, the Gokongwei-led property developer said the issuance was approved by the PSE on Jan. 10. This will allow the company to offer up to 1.1 billion common shares priced within the range of P18 to P21.
The shares will be valued based on the volume weighted average price of RLC’s common shares in the 15 to 45 trading days prior to the pricing date. RLC will disclose the final share price on Jan. 24, with the offering to run from Feb. 2 to 8.
“The proceeds from the offer will be used to finance the acquisition of land located in various parts of the country for all of the company’s business segments,” the company said.
The listed firm will notify the shareholders who may participate in the offer. It noted that existing common shareholders may avail of the stocks provided they are located inside the Philippines, or are in jurisdictions outside the country and the United States where it is legal to participate in the offer.
RLC’s parent, JG Summit Holdings, Inc., plans to avail of any remaining shares that will be unsubscribed by the end of the offer period.
“Thus, if any shareholder fails to subscribe to all the rights shares, JGS, through the underwriter, will take up any remaining unsubscribed rights shares after the mandatory second round of the offer,” RLC said.
BPI Capital Corp. will act as the offer’s sole issue manager, bookrunner, and underwriter.
RLC posted a net income of P4.57 billion in the first nine months of 2017, 1.5% up from the P4.5 billion it realized in the same period in 2016. Revenues meanwhile stood at P16.64 billion, 2.7% lower year-on-year.
Shares in RLC were flat at P21.05 each at the PSE on Friday. — Arra B. Francia