LISTED property developer Ayala Land, Inc. (ALI) said it expects to finish the planned merger with its 34 subsidiaries by the first half of 2026.

“We are looking to complete the transaction on or before the first half of 2026,” ALI Chief Finance Officer Augusto D. Bengzon said during the company’s annual virtual stockholders meeting on Thursday.

The merger requires approval from the Securities and Exchange Commission (SEC). Once approved, it needs to secure clearance from the Bureau of Internal Revenue (BIR) to transfer the properties to ALI as the surviving entity. Afterwards, the shares resulting from the merger will be listed on the Philippine Stock Exchange (PSE).

“We are looking at the timeline of six months for the SEC approval, another six months for the BIR clearances, and six months for the PSE approval,” Mr. Bengzon said.

“The rationale of this merger is to simplify the ownership structure for operational synergies, efficient funds management, and simplified reporting to government agencies,” he added.

ALI recently announced the plan to merge with 34 entities owned by the company. These entities are either directly owned by ALI or by its subsidiaries, AyalaLand Estates, Inc. (ALEI) and AyalaLand Hotels and Resorts Corp. (AHRC).

“Based on the predetermined swap ratios, ALI will issue a total of 993,540,544 ALI shares, of which 883,171,005 will be treasury shares, 110,358,039 and 11,500 ALI shares will be issued to AHRC and ALEI, respectively,” ALI said in a previous disclosure.

The entities to be merged are engaged in businesses such as landholding, leasing assets/hotels, leasing operations, property development, holding company, golf operations, investment in shares, cinema operations, hotel operations, real estate operations, and snack bar operations.

“As we stand at the threshold of a new era, marked by increasing demand for more sustainable, innovative, and resilient spaces for people to live, work, and play, ALI is poised to seize the opportunities presented by this evolving landscape,” ALI Chairman Jaime Augusto Zobel de Ayala said during the meeting.

“With our proven capabilities, agility, and track record, I am confident that we will not only navigate this new operating environment but also play a significant role in driving the continued progress of our country,” he added.

In a separate virtual annual stockholders meeting on Thursday, AyalaLand Logistics Holdings Corp. President Robert S. Lao said the company is eyeing to double its cold storage capacity by 2025.

“We have two upcoming cold storage facilities in Santo Tomas, Batangas and Mabalacat, Pampanga. Upon completion this quarter, each facility will add 5,000 pallet positions to our portfolio,” Mr. Lao said.

“By 2024, we will already have 20,300 pallet positions. We will further augment this growth by breaking ground for two more facilities within the year,” he added.

Currently, AyalaLand Logistics has three facilities, two in Laguna and one in Cebu, totaling 10,300 pallet positions.

AyalaLand Logistics is the industrial parks and real estate logistics arm of ALI.

On Thursday, ALI shares were unchanged at P28.45 apiece while AyalaLand Logistics stocks rose by 1.09% or two centavos to P1.85 each. — Revin Mikhael D. Ochave