8990 enters high-end property development

CEBU, Philippines — Listed 8990 Holdings will fully acquire Genvi Development Corp., the developer of Monterrazas de Cebu, the largest and last remaining contiguous mountain property development in Cebu City.

In a disclosure to the Philippine Stock Exchange yesterday, 8990 said it has agreed to acquire 100% of Genvi’s outstanding shares.

However, the mass housing developer pointed out the acquisition "is not yet final and has not yet occurred."

"Final terms, in particular the purchase price, are still being discussed. We will submit the proper disclosures upon such terms being finalized," the company said.

This acquisition will make 8990's foray into the high-end property development.

Monterrazas de Cebu is a 200-hectare master-planned project with residential and commercial components and offers a commanding view of Cebu, Mactan and Bohol.

Its first set of phases have already been launched and are in varied stages of development.

In 2007, Monterrazas de Cebu offered its first high-end residential community, The Peaks. The year after, it also launched another residential community called North Ridge.

With the impending acquisition, 8990 said it will continue the development of these upscale subdivisions.

“The acquisition of Monterrazas de Cebu firms up our intention to expand 8990 Holdings into other real estate segments that have proven to have strong demand in the past years," company president and CEO Willie Uy said.

The company acquired new technologies which will be used in developing the mountain project and its future projects.

Moving forward, Uy said the company looks to boost growth further, noting it has been able to double its revenues to P11.5 billion from a mere P5.7 billion six years ago and expand its land bank to almost 600 hectares.

The addition of the Cebu projects brings the company's landbank to approximately 800 hectares. (FREEMAN)