MJC Investments Corp. is selling shares to existing stockholders to raise capital for debt servicing requirements.
In a disclosure to the stock exchange on Friday, MJC Investments said its board of directors approved a stock rights offer that will raise P1.58 billion from the sale of 1.58 billion shares at P1 each.
Stockholders are entitled to one rights share for every two common shares held. The company has yet to determine the record date for the offering.
“The rights offering shall be in lieu of the warrants issuance previously approved during the annual stockholders’ meeting held last June 29, 2017,” MJC Investments said.
MJC Investments owns and operates the Winford Hotel, a 22-story deluxe hotel which is part of the company’s P8-billion hotel and entertainment project within the San Lazaro Tourism and Business Park (SLTBP) in Sta. Cruz, Manila.
The hotel has 128 deluxe rooms, high-end restaurants, a column-less 1,000-seat capacity ballroom, over 900 parking slots, and over 9,000 square meters of internationally designed indoor entertainment space.
A group of Hong Kong-based investors owns a majority stake in MJC Investments after subscribing to shares to fund the development of the tourism hub.
The consortium holds a global investment portfolio and controls 62.96% of MJC Investments, according to a regulatory filing.
MJC Investments is the property development arm of racetrack operator Manila Jockey Club. The latter started as a racetrack operator for horse racing and eventually expanded into real estate.
Shares in MJC Investments added 28 centavos or 8.31% to close at P3.65 apiece. — Krista A. M. Montealegre