THE Securities and Exchange Commission (SEC) approved the preferred share offering of listed property developer A Brown Co., Inc. under shelf registration.
In a statement on Friday, the SEC said it cleared A Brown’s shelf registration covering up to 50 million cumulative, non-voting, non-participating, non-convertible, and redeemable perpetual preferred shares.
It added that the preferred shares, worth P5 billion, may be issued in one or more tranches within three years.
“For the first tranche, ABCI will offer 10 million preferred shares priced at P100 each, with an overallotment option of up to 5 million preferred shares,” the SEC said referring to A Brown’s stock symbol.
The shares will be listed on the main board of the Philippine Stock Exchange.
A Brown, which has also ventured into power generation through, expects to net up to P1.47 billion from the offering if the oversubscription option is fully subscribed, the SEC said.
“Proceeds will be used to finance the development of real estate projects, land banking, funding requirements of subsidiary Irradiation Solutions Inc. (ISI), and other general corporate purposes,” SEC said.
PNB Capital and Investment Corp. is the lone issue manager, lead underwriter, and sole bookrunner for A Brown’s preferred share offer.
Recently, A Brown’s subsidiary ISI secured the approval of the Board of Investments (BoI) for its P548.7 million irradiation facility.
ISI qualified for incentives as a new operator of essential services under Republic Act No. 11534 or the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act and the 2020 Investment Priorities Plan as a qualified operator of an activity that will help ease the impact of the pandemic.
CITYLAND’S P1.5-B COMMERCIAL PAPERS
Separately, Cityland Development Corp. said in a stock exchange disclosure on Friday that it received the approval of the SEC for the registration of its commercial papers worth P1.5 billion.
The SEC approved the company’s registration during a meeting on Oct. 19, according to Cityland.
In previous disclosures, the company said the proceeds from the commercial papers will be used to finance its funding requirements.
Cityland is a listed firm that has business interests in real estate development. It has projects in areas such as Makati, Mandaluyong, Manila, Pasig, Quezon City, Bulacan, and Cavite. — Revin Mikhael D. Ochave
SEC clears A Brown, Cityland fund raisings
Source: Bantay Radio
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