THE Philippine Stock Exchange, Inc. (PSE) will lift the trading suspension on shares in Supercity Realty Development Corp. (SRDC) on Thursday (June 13), after the company disclosed additional details on its transaction with Manila Bay Development Corp. (MBDC).
Trading of shares in SRDC were suspended since May 30, after the PSE ruled that its deal with MBDC covered the exchange’s rules on backdoor listing.
SRDC previously said it will issue 990 million new common shares to MBDC and businessman George T. Chua, who will then collectively own 90% of the resulting outstanding capital stock of the company.
The new shares will be taken from the proposed increase in its authorized capital stock to P1.5 billion from P155 million.
In exchange, MBDC will give SRDC 12 parcels of land covering 227,510 square meters located in Parañaque City.
“The transaction shall allow SRDC to acquire premium real estate located along Roxas Boulevard…which would be a source of recurring rental income or future income from development projects,” the company said.
SRDC said potential projects include resort hotels, tourist- related attractions, commercial areas, office buildings, and upscale residential and serviced residential apartments.
“The sites’ proximity to entertainment and gambling clusters in the Manila Bay area would be an advantage. The concentration of hotels and cultural entertainment activities in the area would create a major attraction for locals and tourists alike,” the company said.
The listed firm expects to file the amendments to its articles of incorporation with the Securities and Exchange Commission by July 8, after it secures shareholder approval during its annual stockholders’ meeting on June 26.
SRDC will also file a request with the Bureau of Internal Revenue for the exchange of properties. After this, the shares will then be listed with the PSE.
Incorporated in 2000, SRDC is involved mainly in construction. It is authorized to act as contractor or subcontractor for the construction of houses, buildings, roads, bridges, and other construction projects both for the private sector and the government.
The company has a market capitalization of P145.20 million. — Arra B. Francia