THE Securities and Exchange Commission announced on Monday that it received the registration statement of VistaREIT, Inc. for an initial public offering of P9.18-billion shares on the main board of the stock exchange.
The offering will have around 3.34 billion secondary common shares at an offer price of up to P2.50 each, with an overallotment option of up to 333.75 million secondary common shares.
VistaREIT is the real estate investment trust of the Villar-led property company Vista Land & Lifescapes, Inc.
VistaREIT’s prospectus states that in accordance with the REIT Law’s implementing rules and regulations, the proceeds from the offer shares may be reinvested in income-generating assets in the Philippines within one year from receipt.
Pending the use of proceeds, the selling shareholders may invest the net proceeds in short-term liquid investments including but not limited to short-term government securities, bank deposits and money market placements, which are expected to earn interest at prevailing market rates subject to compliance with and as permitted by the REIT Law.
The company tapped BDO Capital & Investment Corp., China Bank Capital Corp., PNB Capital Investment Corp., RCBC Capital Corp., and SB Capital Investment Corp. as joint lead underwriters and bookrunners for the transaction, with Abacus Capital & Investment Corp. as a participating underwriter.
“VistaREIT is envisioned to be the flagship office and mall REIT of Vista Land, one of the country’s largest integrated real estate developers, and aims to be among the leading diversified commercial REITs in the Philippines in terms of portfolio, profitability, growth, sustainability, and dividend yield,” according to the prospectus.
The real estate trust company owns and leases a portfolio of 10 community malls and two office buildings, together with mall properties, with an aggregate gross leasable area of 256 million square meters.
“The principal investment mandate and strategy of VistaREIT is to invest on a long-term basis, in a diversified portfolio of income-generating commercial real estate assets strategically located within Vista Land’s integrated developments or in key urban areas. We aim to maintain high occupancy rates and quality tenants with particular focus on those offering essential goods and/or services,” the prospectus read. — Luisa Maria Jacinta C. Jocson