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Friday, March 29, 2024

GT Capital raising P12b in 3rd quarter

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GT Capital Holdings Inc., the holding company of tycoon George Ty, is raising up to P12 billion from the sale of perpetual preferred shares in the third quarter.

GT Capital president Carmelo Bautista said in a text message proceeds from the preferred shares issuance would be used to finance recent investments in Metro Pacific Investments Corp. and acquisition of additional shares in mass housing developer Property Company of Friends Inc.

Under the plan, GT Capital will sell 8 million Series “A” and “B” perpetual preferred shares, with an oversubscription option of another 4 million shares at an offer price of P1,000 per share.

The perpetual preferred shares are cumulative, non-voting, non-participating, non-convertible and peso-denominated, it said.

GT Capital, which has investments in automotive and real estate, banking, power generation and insurance sectors, said it would file appropriate registration statement and prospectus for the fund raising activity with the Securities and Exchange Commission.

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It will also file a listing application with the Philippine Stock Exchange.

Metro Pacific formed a strategic alliance with GT Capital in May by swapping shares and acquiring a majority stake in the latter’s power generation unit. 

Under the plan, Metro Pacific signed an agreement with GT Capital to acquire 56 percent of Global Business Power Corp. for P22.6 billion. 

Metro Pacific will then issue 3.6 billion new common shares in GT Capital at P6.10 apiece or for a total of P21.96 billion. 

Upon completion of the subscription, GT Capital would hold 11.4 percent of the enlarged common share capital base of Metro Pacific. 

GT Capital will also acquire 1.3 billion shares from Metro Pacific’s majority shareholder, Metro Pacific Holdings Inc., to bring its stake in Metro Pacific to 15.6 percent.

GT Capital is spending another P8.76 billion to increase its stake in Profriends to 51 percent by the first quarter of 2017 from the current 22.68 percent.

GT Capital’s consolidated net income attributable to equity holders of the parent company increased 32 percent in 2015 to P12.1 billion from P9.2 billion in 2014.

The increase was led by a 13-percent hike in consolidated revenues  to P159.2 billion from P141.1 billion in 2014.

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