Manila Bay Development Corp., a real estate firm that owns a property within the reclamation area in Parañaque City, is listing with the Philippine Stock Exchange through Supercity Realty Development Corp., a dormant company.
Supercity said in a disclosure to the stock exchange its board approved the issuance of 990 million new common shares to MBDC and George Chua, which are equivalent to a 90-percent stake in the company.
In exchange for the 990 million new common shares, MDBC and Chua will contribute 12 parcels of land in Parañaque City with a total area of 227,510 square meters.
The new shares to be issued will come from the proposed increase in the company’s authorized capital stock to P1.5 billion from P155 million.
“The increase in authorized capital stock shall be enable the corporation to secure properties along Roxas Boulevard, within the Reclamation Area of the Bay City (Boulevard 2000) development in Parañaque City, which would be a source of recurring rental income or future income from development projects,” SRDC said.
The corporate moves will be submitted for approval to the stockholders during the annual meeting scheduled on June 26.
Following the disclosure, the Philippine Stock Exchange suspended the trading of SRDC, saying the transaction involved the exchange’s rules on backdoor listing.
Shares of SRDC were last traded on May 11, 2009 when it closed at P1.32 per share.
SRDC was listed with the Philippine Stock Exchange in 2003 to engage in the business of construction and related services and activities.
The SRDC board in February 2008 decided to wind down the company’s construction business and re-focus its activities into real estate development.
SRDC to date has not yet started any real development projects and remains engaged in the business of construction.
MBDC owns the 43-hectare area that is home to Uniwide Coastal Mall and Metro Manila Development Authority’s Southwest Integrated Provincial Transport Terminal.
The bus terminal operates 24-hours a day and dispatches 900 buses that serve approximately 54,000 passengers daily.