PRIME MEDIA Holdings, Inc. has sold parcels of land in Albay to a mall operator to pay off debts that will mature this year.

In a disclosure to the stock exchange on Monday, the listed firm said it entered into a deed of absolute sale with Pacific Mall Corp. for five parcels of land covering 1,901 square meters in Poblacion, Legazpi City. The properties are worth a total of P51.82 million, inclusive of taxes.

The company said it took into account the fair market value of the properties, their location, and the cash payment in coming up with the sale price of the parcels of land. It noted that other taxes and expenses will be shouldered by Pacific Mall.

“The proceeds of the sale will be used to pay the company’s liabilities and operational expenses,” Prime Media said.

The company said it loaned P26 million from Marcventures Mining and Development Corp. at an interest of 10% per annum. Of this, P11 million is set to mature in November, while the remaining P15 million will be due in December.

“The sale of the properties will also help save administration cost of the properties such as the payment of monthly association dues, yearly real property taxes, and inspection to ensure the properties will not be usurped or tenanted,” the company said.

Incorporated in 1963 originally as Private Development Corporation of the Philippines, Prime Media was initially involved in banking operations. Its deposit liabilities and other banking functions were then taken over by BDO Unibank, Inc. in 2002.

Prime Media recorded P250,216 in gross revenues in the first quarter of 2019, 13% lower year on year. It posted no earnings in the same period.

Shares in Prime Media jumped 1.85% or two centavos to close at P1.10 each at the stock exchange on Monday. — Arra B. Francia