PSE approves Belle’s plan to sell new shares

The Philippine Stock Exchange has approved the plan of leisure estate and gaming firm Belle Corp. to raise about P4.5 billion from the sale of new shares to existing shareholders by September.

The stock rights offering of about 1.5 billion shares at P3 per share intends to raise funds for Belle’s gaming and tourism complex project along Manila Bay. BDO Capital and Investment Corp. is the underwriter for the rights issue.

Based on a PSE memorandum, Belle will offer one rights share for every six shares held by stockholders of record as of September 2. The offering will run from September 22 to 28 this year while listing of new shares on the local bourse was tentatively set for October 10.

The indicative price represented a 39.4 percent discount to volume-weighted average price of common shares for the 15-day period immediately preceding July 12, the pricing date.

As of Friday, Belle’s share price closed at P4.23 per share at the PSE, giving the company a market capitalization of about P37 billion.

Together with proceeds from a P5.6 billion bank credit from Banco de Oro Unibank, Belle is raising funds to complete its funding requirements for the construction of the $750-million Belle Grande Manila Bay casino complex.

This project seeks to transform Belle from an upscale property developer to a premier gaming and leisure estate company.

A joint venture with gaming firm Leisure & Resorts World Corp., Belle Grande is targeted for soft opening in the second quarter of 2012 and grand opening by 2013. The integrated gaming resort complex, between Macapagal Avenue and Roxas Boulevard, will offer 19,626 square meters of gaming space. It will also have six hotel towers with 1,000 rooms by the fourth quarter of 2013, including 86 luxury suites.