PH Resorts equity sale gets PSE nod

CEBU, Philippines — The Philippine Stock Exchange has approved the P11.99-billion follow-on equity sale by PH Resorts Group Holdings to gain funding for its multi-billion casino project in Mactan, Cebu and expansion of a project in Panglao, Bohol.

In a regulatory disclosure yesterday, the company said its follow-on offering will run from March 4 to 8 this year after a price-setting on Feb. 26, based on an offering circular posted by the PSE Friday.

PH Resorts plans to offer 2.054 billion common shares at a price per share between P3.65 and P5.84 each.

The base offer includes 1.786 billion shares and additional 267.94 million shares allocated for stabilization-related option, according to the company.

The shares are tentatively set for listing on March 18 this year.  The equity sale will raise the company’s public ownership to about 37 percent.

The gaming company, which is owned by Davao tycoon Dennis Uy, has mandated China Bank Capital Corp. as lead underwriter while CLSA Ltd. as stabilizing agent.

China Bank Capital is also the domestic issue manager and domestic lead manager while CLSA is the sole global coordinator and joint bookrunner. Another joint book runner is UBS AG Singapore branch.

In 2018, PH Resorts made a backdoor listing at the stock exchange through Philippine H2O Ventures Corp. after H2O’s parent Jolliville Holdings Corp. executed a sale and purchase agreement to transfer its interest in the firm to Udenna Development Corp., PH Resorts’ parent.

The funds set to be raised will be used to fund company’s integrated resort and casino in Lapu-Lapu City called The Emerald.

The resort will stand on a 13.5-hectare property that will house a main gaming area, non-gaming amenities, a 300-meter beachfront, fitness studio and infinity pools.

The casino alone will have an aggregate gaming floor area of 7,585 square meters (sq.m.) during the first phase, and is set to expanded by 9,400 sq.m. in the second phase. The company also plans to develop a five-star hotel with around 1,300 rooms in the complex.

The leisure firm will also renovate The Donatela Hotel in Panglao, Bohol, as it eyes to build 28 additional villas to its existing 12 villas.

The company’s expansion also includes Clark Resort, a four-hectare integrated tourism resort complex in Clark Freeport Zone, Pampanga.