Posted on February 17, 2012 07:19:50 PM [ BusinessWorld Online ]
SHANG PROPERTIES, Inc., the local development arm of Malaysia-based Kuok Group, has moved to a guarantee a loan taken out by a unit from BDO Unibank, Inc. for the construction of a mixed-use development in Taguig City, a disclosure to the Philippine Stock Exchange showed on Friday.
Following a meeting on Friday, Shang Properties’ board of directors reportedly moved to "pass resolutions to authorize...the guarantee in part-to the maximum extent of 50% the term loan of its affiliate, Fort Bonifacio Shangri-La Hotel, Inc. (FBSHI) from BDO [Unibank]," the disclosure read.
The loan, whose value was not disclosed, will be used to partially finance the ongoing construction of the 500-room Shangri-La at the Fort, a hotel and serviced residential apartment in Bonifacio Global City.
Shang Properties was not immediately available for comment on the disclosure.
Eduardo V. Francisco, president of BDO’s investment banking arm BDO Capital and Investment Corp., similarly declined to detail the terms of the loan as it was a "private deal", he said in a text message to BusinessWorld on Friday.
Shang Properties went on to declare cash dividends worth P0.0042 per share, to be derived from the company’s unrestricted retained earnings last year, the disclosure added.
The cash dividends will be paid on or before March 16 to all shareholders on record as of March 5, Shang Properties said.
Shang Properties shares were unchanged at P2.05 apiece last Friday. -- Franz Jonathan G. de la Fuente
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