Posted on October 11, 2013 06:51:00 PM
[ BusinessWorld Online ]
8990 Holdings, Inc., formerly IP
Converge Data Center, Inc., plans to sell more than a billion shares, the
housing developer said in a disclosure on Friday.
The company said the board, in its
meeting on Thursday, "approved the offering and issuance by way of a
follow-on offering consisting of up to 517.31 million primary shares and 517.31
million secondary shares at an offer to be mutually determined by the
authorized representatives of the corporation".
The board has likewise approved the
filing of a registration statement and listing application with the Securities
and Exchange Commission (SEC) and Philippine Stock Exchange (PSE),
respectively.
The board has appointed SB Capital
Investment Corp. as the lead manager for the follow-on offering.
PSE last week approved the change of
company’s trading name to 8990 Holdings from IP Converge Data Center. This
after SEC on Oct. 1 approved amendments to then IP Converge’s articles of
incorporation which, among others, include the change of corporate name and
increase in authorized capital stock to P7 billion from P460 million.
The capital increase will pave the way
for the subscription of 3.97 billion shares by a group of firms and individuals
collectively known as the 8990 Group in a backdoor listing transaction.
8990 Group expects to corner 89.07% of
the company’s outstanding capital stock once the issuance and subscription of
shares are completed.
8990 Group is known primarily for its
main brands Deca Homes (mass housing subdivisions) and Urban Homes (medium-rise
buildings).
Deca Homes has developed 51
subdivisions, with more than 41,000 housing units turned over to date,
according to a statement last May. The developer said in May said it had 10
ongoing residential projects in Angeles City in Pampanga; the cities of Iloilo,
Cebu and Davao; as well as in Cavite; while also managing two wakeboard parks,
namely: Deca Wake Park Davao and Deca Wake Park Clark.
Shares of 8990 Holdings lost 19
centavos or 2.64% to close P7.00 apiece on Friday from P7.19 each on Thursday.
-- Cliff Harvey C. Venzon
__________________________________________________________
