DoubleDragon Properties Inc. set the final offering price for its planned share sale at P30 apiece.
DoubleDragon managed to price its share sale at the low end indicative offer price of P30 to P40 per share despite the market’s decline. It represented a 23-percent premium to the stock’s closing price of P24.40 Thursday.
DoubleDragon will raise up to P4.5 billion in proceeds, based on the final price
DoubleDragon said it planned to sell up to 150 million in common shares to fund its expansion plan.
The company conducted roadshows in Manila, Hong Kong and Singapore to gauge the market’s appetite for the planned share sale.
“We are extremely happy with the results of the pricing, as it indicates the strong support of the global investing community in the strong growth prospects of DoubleDragon despite the current volatile market conditions,” DoubleDragon chief investment officer Hannah Yulo said.
DoubleDragon chairman Edgar Sia II said proceeds from the fund raising activity would be used to roll out 100,000 square meters of leasable industrial warehouse spaces in various parts of Luzon, Visayas and Mindanao.
It will also fund the expansion of the company’s hospitality arm to achieve its goal of reaching 5,000 hotel rooms by 2020.
“As we approach the completion of our 2020 targeted portfolio comprising of 1.2 million square meters or 120 hectares of prime leasable space, this is a great opportunity for key investors to take part in the hyper growth years of the company,” Sia said.
Offer period will be on July 2 to July 6, while listing date is on July 13.
DoubleDragon recently conducted roadshows in Manila, Hong Kong and Singapore to drum up interest in the follow-on offering.
Credit Suisse (Singapore) Ltd., Maybank Eng Securities Pte Ltd. and UBS are the international book runners and lead managers, while BPI Capital Corp. and Maybank ATR Kim Eng Capital Partners Inc. are the domestic lead underwriters.