Mass housing developer 8990 Holdings Inc. plans to launch five new projects in 2018 with a total sales value of P60 billion.
8990 Holdings incoming president and chief executive Willibaldo Uy, in an interview following the listing of the company’s P5 billion worth of preferred shares at the Philippine Stock Exchange, said the firm had lined up two projects in Davao City, one each in Iloilo and Cebu, and one in Ortigas Extension, Pasig.
To avoid possible delays, Uy said the company was now securing permit that would enable it to timely launch the projects.
The launching of some of the company’s projects in late 2016 and up to the first half to 2017 were postponed because of the delay in securing permits from several local government units.
The mass housing developer also plans to issue next year the balance or P5 billion worth of preferred shares from its P10-billion shelf preferred shares offering. 8990 plans to use proceeds from the offering to reduce the company’s debts.
The group earlier raised P5 billion from the maiden issuance of 50 million preferred shares at an offer price of P100 apiece and a dividend rate of 6.0263 percent per annum.
The offering was 1.3 times oversubscribed, indicating strong reception from the local investors.
Meanwhile, 8990 director Lowell Yu said the company was on track to achieve P10 billion in revenues this year, the lower end of its P10 billion to P13 billion target for this year.
Net income, however, are expected to increase 40 percent this year to P5.3 billion from P3.81 billion in 2016.
“We still expected 2017 to be another banner year for the 8990 Holdings,” Yu said.
The property firm earlier reported a 29-percent increase in third quarter revenues to P3.1 billion, boosting nine-month sales to P6.1 billion.
Third-quarter net income also rose nine percent to P1.23 billion from P1.13 billion recorded in the same period a year ago, lifting nine-month profits to P2.4 billion.
Share price of 8990 Holdings on Friday closed at P5.55, up 0.9 percent.