Posted on February 20, 2012 10:39:56 PM [ BusinessWorld Online ]
LISTED DEVELOPER Century Properties Group, Inc. has earned the Philippine Stock Exchange’s (PSE) approval to conduct a block sale of its shares in line with an offshore private placement.
Century Properties, Inc., the parent firm of Century Properties Group, secured clearance from the PSE’s market operations division for a regular block share sale to Dutch-based pension firm APG Strategic Real Estate Pool N.V., the disclosure read.
Last Friday, Century Properties said it is poised to raise some P2.33 billion in proceeds from an offshore placing and subscription of around 1.33 billion common shares priced at P1.75 apiece.
The move will hike Century Properties’ minimum public float to 17.5% from 6.4%, meeting the PSE’s 10% minimum public float rule imposed on all listed firms.
Half of the subscription proceeds will be earmarked for working capital purposes, while the remaining balance will be used to bankroll land acquisitions, earlier reports said.
UBS AG will serve as sole global coordinator and bookrunner for the deal, while UBS AG and Macquarie Capital (Singapore) Pte. Ltd. will serve as joint lead managers.
The company has yet to set a timetable for the transaction.
Century Properties shall inform the PSE on other material information relative to the transactions and will file necessary regulatory requirements to effect the changes to its stock ownership structure, the company added.
Century Properties, a high-rise developer with more than 40 projects in its total portfolio as of last year, has already completed a total of over 22 buildings and 720 homes, according to its Web site.
The company plans to spend this year as much as P8.3 billion -- more than thrice its capital expenditures in 2011.
Century Communities Corp., a wholly-owned subsidiary of Century Properties, has moved to build a leisure and resort community estate in Batangas.
Century Properties debuted on the PSE last September by way of “backdoor” listing, replacing energy firm East Asia Power Resources Corp.
Century Properties increased its net income attributable to the company’s equity holders to P779.65 million in the January to October period last year, 399% higher than the P156.66 million booked by the end of October 2010.
This was reportedly fueled by significant growth in the firm’s real estate sales, interest, and other income.
The company’s total revenues nearly doubled to P4.02 billion from P2.09 billion year-on-year, while costs and expenses grew by 59.67% to P2.89 billion from P1.81 billion two years ago.
The PSE had halted the trading of Century Properties’ shares Friday afternoon until Feb. 20, Monday, so investors can digest the new information.
Shares of Century Properties were last traded on Feb. 17 at P1.82 apiece. -- Franz Jonathan G. de la Fuente
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