Posted on July 02, 2012 09:04:08 PM
“The SEC approved [on June 29] the
increase in our authorized capital stock from P21.50 billion to P22.80
billion…” Ayala Land said.
The developer said the increase
consisted of 13.03 billion voting preferred shares with par value of P0.10 per
share, bringing the total to 15 billion shares.
Those shares became issued and
outstanding last Thursday, the disclosure added.
Earlier this year, the company
announced a capital restructuring plan wherein 13.04 billion non-voting
preferred shares will be retired while 13.04 billion voting preferred shares
will then be issued to common shareholders via a 1:1 stock rights offer.
This move is seen to lower foreign
ownership of Ayala Land voting shares to a desired 19% from 38% as of
end-January this year after a Supreme Court (SC) ruling recently clarified
corporate equity limits.
Last year, the SC issued a ruling
ordering the SEC to use a company’s voting shares in applying the
constitutionally-mandated 40% foreign ownership limit on Philippine Long
Distance Telephone Co. (PLDT) as well as on other firms.
This is opposed to using outstanding
capital stock, which include non-voting preferred shares.
PLDT has similarly moved to redeem
preferred shares ahead of plans to sell 150 million new voting stocks to reduce
its foreign equity level to 36% from 64%, according to previous reports.
Mediaquest Holdings, Inc., a
subsidiary of PLDT’s Beneficial Trust Fund, has a minority stake in
BusinessWorld.
While technically not in violation of
the foreign ownership law, Ayala Land earlier said it wanted to have leeway to
adjust its foreign ownership level if it gets too close to the 40% minimum.
For 2012, Ayala Land has allotted a
record P37 billion in capital expenditures (capex) to fund around 67 new
projects with an estimated sales value of P90 billion, as well as for the
acquisition of new properties moving forward.
The firm tapped the bond market last May,
listing P15 billion worth of fixed-rate callable bonds, whose proceeds will be
used to fund part of the firm’s 2012 capex.
The company is also keen to enter into
partnerships with other property firms for its expansion plans, recent reports
showed.
Last Friday, Ayala Land said it was
poised to enter into negotiations with the Ortigas family for a “strategic
alliance” aimed at possibly building residential, office, retail, and hotel
components inside and outside Metro Manila.
Ayala Land has allotted an initial P15
billion for this effort.
The company hiked its net income for
the first quarter by 31.48% to P2.13 billion from year-ago levels on improved
sales.
Ayala Land shares rose by 2.08% to
P22.05 at the close of trading yesterday. -- Franz Jonathan G. de la Fuente
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