GOLDEN HAVEN, Inc. is formalizing its entry into the mass housing sector after issuing P3.01 billion worth of shares out of its unissued authorized capital stock to Cambridge Group, Inc. (CGI).
In a disclosure to the stock exchange on Wednesday, the Villar-led firm said it has issued 150 million common shares at P20.0935 apiece to CGI by way of private placement. Golden Haven initially secured shareholder approval to increase its issued and outstanding shares last October 2017 to make the transaction possible.
The funds raised from the private placement will then be used to acquire housing developer Bria Homes, Inc., comprising 9.99 million shares at P301.42 apiece. CGI is a firm controlled by the Villar’s Fine Properties, Inc., and is the principal shareholder of Bria Homes.
Also led by the Villar group, Bria Homes develops mass housing projects across the country, with 27 projects in Bataan, Pampanga, Bulacan, Cavite, Laguna, Camarines Sur, Negros Oriental, Cagayan de Oro, and Misamis Oriental under its network.
The transaction will bring down Golden Haven’s public float to 10.59% from 14.84%.
The diversification into mass housing comes after Golden Haven changed in corporate name last September 2017, where it dropped the words “memorial park” in order to expand its core business outside the deathcare industry.
Following the plan to acquire Bria Homes, the company then changed its name to Golden Bria Holdings, Inc. last February, which it said would provide the company flexibility in undertaking its expansion plans. The company has yet to disclose when it will file with the Securities and Exchange Commission necessary documents for the name change.
Golden Haven saw its net income attributable to the parent increase 21% to P164 million in the first nine months of 2017, following a 19% growth in revenues to P724 million during the period.
Shares in Golden Haven soared 50% or P87 to P261 apiece at the Philippine Stock Exchange on Wednesday. — Arra B. Francia
