Arthaland to issue P10 million preferred shares

CEBU, Philippines — Arthaland Corp., the property arm of the Century Pacific Group, is looking to offer up to 10 million preferred shares to the public.

In a disclosure to the stock exchange yesterday, the company said this is the second tranche of its P3-billion follow-on offering it had announced in September 2016. This was the capital raising activity that would finance its projects including the Cebu Exchange, an office building project.

The company said its board of directors approved at a meeting yesterday the public offering of up to 10,000,000 Series C preferred shares.  Arthaland said it already filed with the Securities and Exchange Commission the registration statement and the preliminary prospectus “in relation to the foregoing offer and sale of the Series C Preferred Shares as the second tranche of the P3B shelf registration.”

The corresponding application for listing of the additional issued shares was also filed with the SEC yesterday, it said.

It was in September 2016 when the company announced to raise up to P3 billion through a follow-on offering.

The company’s board had previously approved the sale of 30 million preferred shares from its unissued authorized capital stock at an offer price of P100 per share. 

In December 2016, it had listed P2 billion worth of preferred shares in the said follow-on offering.   According to its earlier registration statement filed with the SEC, proceeds from the share sale would be used to finance the development of its four new projects to include the Cebu Exchange project (P53.6 million).

The company was targeting to issue P3 billion worth of shares, with an initial tranche of up to P2 billion to include an overallotment option.

The Cebu Exchange is a commercial development located within the Cebu IT Park area in Barangay, Lahug, Cebu City. The 38-storey Cebu Exchange, being built in more than 8,000-square meter property, is deemed to be the largest and tallest BPO building at the Cebu IT Park area.