THE Philippine Stock Exchange (PSE) said it approved the application of Filinvest REIT Corp. (FILREIT) to list 4,892,777,994 common shares under the local bourse’s main board, which would include the shares for its initial public offering (IPO).
“The exchange’s approval of the conduct of the IPO and listing of the company’s shares is subject to its compliance with all of the post-approval requirements of the exchange,” the PSE said.
FILREIT, formerly Cyberzone Properties, Inc., is the real estate investment trust unit sponsored by Filinvest Land, Inc. (FLI).
The portfolio contains 17 office buildings, 16 of which are located in Northgate Cyberzone in Filinvest City in Alabang while one is in the gateway of Cebu IT Park. It has over 300,000 square meters (sq.m.) of gross leasable area (GLA).
The IPO is a secondary offering of up to 1,634,187,850 common shares offered by FLI priced at P8.30 apiece at most, with an overallotment option of nearly 163,418,785 common shares. Its final offer price will be determined on July 19.
“In total, the offer shares will represent approximately 36.74% of FILREIT’s issued and outstanding capital stock after the completion of the offer, assuming the full exercise of the overallotment option,” Filinvest Land said in a disclosure on Monday.
Parent firm Filinvest Land will receive all proceeds from the offer, which may total up to P14.92 billion if the overallotment option is exercised.
FILREIT’s offer period will run from July 26 to Aug. 3, while its tentative listing date is set to Aug. 12. It will be listed under the ticker symbol “FILRT.”
“The third REIT company is set to join our roster of listed firms and we trust that this will send a strong signal for more companies to consider REIT listing as a viable mechanism to raise capital for their expansion plans; as well as provide our investors alternative investment opportunities,” PSE President and Chief Executive Officer Ramon S. Monzon said in a statement.
Filinvest Land has 14 operational office buildings as of end-March, with 11 more under construction in central business districts “that may form additional pipeline acquisitions for the company.” It said these would add around 315,000 sq.m. to its GLA.
Shares of Filinvest Land at the stock exchange rose by 1.75% or two centavos on Monday, closing at P1.16 each. — Keren Concepcion G. Valmonte