Robinsons Land Corp. obtained the approval of the Philippine Stock Exchange to proceed with a planned P20-billion stock rights offering.
Robinsons Land will offer up to 1.1 billion common shares at an offering price of between P18 and P21 apiece.
Shareholders as of record date Jan. 31 will be entitled to purchase one right share for every 3.7 to 4.3 common stocks owned.
The offering period is set from Feb. 2 to 8, with the listing date scheduled on Feb 15. BPI Capital Corp is the sole issue manager, book runner and underwriter of the offering.
The property company expects to raise gross proceeds of up to P20 billion, which it will use to finance the acquisition of land in several parts of the country for all its business segments.
JG Summit Holdings Inc., which owns 60.97 percent of Robinsons Land, has committed to purchase not just its entitlement of rights but also any unsubscribed portion during the offering period.
Robinsons Land reported total consolidated revenues of P16.64 billion in the first nine months 2017, down 2.8 percent from P17.11 billion year-on-year.
Net income in the same period stood at P4.57 billion, up 1.5 percent from P4.50 billion on year.
Robinsons Land as of end-September last year had 46 malls, 13 office developments in strategic locations and within central business districts, 16 hotel properties across three brand segments and over 100 vertical and horizontal residential properties nationwide, providing the company with stability in revenue and earnings growth, as well as opportunities to accelerate growth during property up-cycles.
Robinsons Land in 2016 completed the acquisition of an 8.5-hectare property in Chengdu, China, marking its first international foray. The company plans to develop the property into a residential project with a minor commercial component. It plans to pre-sell the residential projects in China this year.
Robinsons Land in 2017 earmarked P16 billion in capital expenditures to develop new and expand existing malls, offices and hotels, complete ongoing residential property developments and land acquisition.
Share price of Robinsons Land on Friday closed unchanged at P21.50 per share.