Asiabest Group plans capital hike via follow-on offer, private placement

Asiabest Group International Inc. (ABG) said Wednesday its board of directors approved several fundraising initiatives, including a planned follow-on offering as part of its broader capital-raising strategy.

The company plans to issue between 300 million and 620 million common shares through the follow-on offering. Based on the current share price of P26.70, the sale could raise between P8 billion and P14.89 billion in fresh capital.

The shares will be issued from a proposed increase in the company’s authorized capital stock to up to 3 billion common shares from 600 million. The offering is subject to stockholder and regulatory approval, including clearance from the Securities and Exchange Commission (SEC).

The board also recommended that shareholders authorize the directors to determine the final issue price and number of shares to be offered.

It also approved a private placement of up to 300 million common shares from the company’s existing authorized but unissued shares. The placement will be payable in cash and may be executed in one or more tranches.

ABG said these moves are part of its broader plan to finance new investments, fund operations and support potential acquisitions.

ABG said it is venturing into real estate development after it was acquired by PremiumLands Corp. and its partner Industry Holdings and Development Corp. in 2024. The acquisition was led by PLC chairman Francis Lloyd Chua.

Under the plan, PLC and IHDC will initially infuse Kabalayan Housing Corp.’s land assets in various provinces into ABG. Kabalayan, which develops mass housing projects, is a wholly-owned subsidiary of PLC.

IHDC also plans to consolidate its manufacturing, logistics and construction subsidiaries into ABG by 2026. These subsidiaries include Concrete Stone Corp. (CSC), Industry Movers Corp. (IMC) and a minority interest in construction firm EEI Corp.

ABG was previously owned by Okada-owned Tiger Resort Asia Limited (TRAL).