Tuesday, August 25, 2009 | MANILA, PHILIPPINES [ BusinessWorld Online ]
MEGAWORLD CORP. is ready to match Robinsons Land Corporation’s counter-offer for the development of 8.38 hectares of state land in Taguig City.
The firm, in a disclosure, declared its intent to raise its original unsolicited offer of P2.789 billion to Robinsons Land’s bid of P3.15 billion.
The announcement followed the Bases Conversion and Development Authority’s (BCDA) declaring on Friday that Robinsons Land’s proposal for the North Bonifacio lots had complied with bidding rules.
Megaworld submitted its unsolicited offer last year, spurring a process different from regular bidding under state joint venture rules issued by the National Economic and Development Authority.
The firm proposed to develop the land, which sits mostly between the parallel Eighth and Ninth Avenues, for residential use with some retail and office spaces, the BCDA earlier said.
The state agency then called for "competitive challenges" from other developers. Robinsons Land emerged as the lone qualified challenger.
BCDA Vice-President Aileen R. Zosa told BusinessWorld that Robinsons Land’s offer topped Megaworld’s, and also exceeded the latter firm’s P15.6 billion investment commitment via a pledge to pour in P16 billion over 20 years.
Megaworld, she said, has until Friday to match the counter-offer.
Robinsons Land Vice-President Mybelle V. Aragon-Gobio declined to comment yesterday. Earlier, she had said that the North Bonificio lots would complement the firm’s portfolio, which already includes five developments in the area.
Megaworld, for its part, also has commercial and residential properties there.
The lots up for bidding are the last of the undisposed military land in the area as the rest lie in the South Bonifacio section, the BCDA has said.
Megaworld share prices rose 14.5% yesterday to P1.42 apiece while Robinsons Land’s rose 10.2% to P9.70. — Jessica Anne D. Hermosa