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PROPERTY
developer
Vista Land
and Lifescapes Inc. reported Monday a successful
introduction listing of 6.42 billion shares at the
Philippine Stock Exchange.
The
shares were assigned with the symbol VLL. At the same
time C&P Homes Inc., which became a subsidiary after a
share swap with major shareholders and a tender offer
with minority shareholders.
The
1-for-1 stock swap and tender offer were priced at P2.46
per share, which formed the basis for the listing price
of Vista Land yesterday. C&P Homes last traded at P4.05
per share.
No
sellers posted at the opening even though buyers for
29.22 million shares were on the board with bids up to
the ceiling of P3.65 per share. A single transaction of
1,000 shares was done towards the session’s end.
The
Securities and Exchange Commission has given Vista Land
the go signal for its planned initial public offering of
up to 3.89 billion shares.
The
company said it plans to sell up to 2.12 billion new
shares in a primary offer, while up to 1.265 billion
shares will be offered by shareholders Fine Properties
Inc., Polar Property Holdings Corp. and Adelfa
Properties Inc.
The
sellers also granted the stabilizing agent a greenshoe
option to sell up to 507.75 million
Vista Land
shares to cover over-allocations for the international
market.
The
shares will be priced at a range of P3.00 to P10.00 per
share with the final offer price to be determined
through a book-building process and negotiations between
Vista Land, the sellers and issue managers.
Net
proceeds from the primary portion of the IPO have been
estimated and will amount to P13.2 billion, based on an
offer price of P6.50 per share, or the midpoint in the
estimated price range of the offer shares.
Vista Land
is allotting 2.708 billion primary and secondary shares
through an international offering, and 677 million
primary and secondary shares for domestic investors.
The IPO
shares, including the shares from the secondary offer
and the greenshoe option is equivalent to 45.8 percent
of Vista Land’s post offering capital.
Vista Land
has appointed Switzerland-based UBS Investment Bank as
sole global coordinator and bookrunner with ABN Amro
Rothschild as co-lead manager. BDO Capital and
Investment Corp. is lead domestic underwriter.
Vista Land
will use the proceeds to finance capital expenditures
amounting to P7.166 billion and settle loans worth P5.21
billion. It will also set aside P800 million for
operational working capital.
The
capital expenditure will allow
Vista
Land
to rapidly expand its operations and strengthen its
market position. It intends to expand its housing
operations in the provinces in a bid to double its
geographic reach in the next two years.
Vista Land
president Jing Serrano added that the firm also seeks to
expand its role in inner city and vertical developments
with an initial P10-billion investment, while enhancing
existing projects by putting up community centers and
establishing space for business process outsourcing in
those project areas.
The firm
has an extensive land bank available for future
development, as in 1,434 hectares of raw land, of which approximately
1,185
hectares were acquired directly and about
249
hectares under joint venture agreements with landowners.
Complementing its portfolio of developments, Serrano
said Vista Land intends to expand into more leisure
projects and other types of real-estate development in
the future.
The
formation of
Vista Land
joins together Brittany Corp., C&P Homes, Crown Asia and
Communities Philippines, all market leaders in their
respective segments, making Vista Land the largest
homebuilder in the Philippines offering a full spectrum
of horizontal residential products across all income
segments.
The
consolidation also makes Vista Land the country’s
homebuilder with the widest geographical reach. |
