ROBINSONS Land Corp. (RLC) is partnering with sister firm Gokongwei Brothers Foundation, Inc. (GBFI) for a new company to be valued at P5 billion.
In a disclosure to the stock exchange on Monday, the listed property developer said its board of directors has approved the creation of a joint venture (JV) firm that will be involved in the property sector.
“RLC and GBF, through a joint venture company, shall purchase, lease, and develop real properties,” the company said.
RLC said the JV firm will be managed by its own board of directors with five members.
GBF was established in 1992 by Gokongwei brothers, John, Johnson, Henry, and James through donations from their shares of stock in holding firm JG Summit Holdings, Inc. The foundation collaborates with educational institutions to extend scholarships to students as well as learning facilities for a number of universities.
The foundation is managed by members of the Gokongwei family.
RLC has been partnering with several firms this year to facilitate its expansion. In February last year, the company agreed to establish a JV company with Hong Kong Land International Holdings Ltd. and its subsidiary Ideal Realm Ltd. for a property in Bridgetowne East, Pasig City.
The company then teamed up with DMCI Project Developers, Inc., also known as DMCI Homes, for a multi-tower residential condominium in Las Piñas City. It also has partnerships with listed developer Shang Properties, Inc. for a mixed-use development in Bonifacio Global City and Frabelle Fishing Corp. for the development of properties in Cavite.
RLC plans to launch P12 billion worth of residential projects this year, mostly in Metro Manila. It will also spend P27 billion in capital expenditures to support its expansion.
The property firm grew its net income attributable to the parent by 19% in the first quarter of 2019 to P1.83 billion. Gross revenues improved by seven percent to P6.78 billion.
Shares in RLC added 0.19% or five centavos to close at P26.40 each at the stock exchange on Monday. — Arra B. Francia