Ayala-Land’s affiliates get go-signal to buy 15% stake in Mandaue project

MANILA, Philippines — Property giant Ayala Land Inc. has given two of its publicly listed Cebu-focused affiliates the right to acquire a 15-percent stake in a 15-hectare mixed-use city center project in Mandaue that will be developed in partnership with the Aboitiz group.

In a disclosure to the Philippine Stock Exchange on Thursday, ALI said it assigned to affiliates Cebu Holdings Inc. (CHI) and Cebu Property Ventures & Development Corporation (CPVDC) the right to subscribe to participate in the joint venture project with Aboitiz Land.

CHI has the right to acquire a 10 percent economic interest and CPV, 5 percent, of the authorized capital stock of the joint venture company that will be established with Aboitiz Land. This leaves ALI with a direct interest of 35 percent.

“This undertaking will allow the Company to benefit from the local knowledge and expertise of CHI and CPVDC, leading to better efficiencies and possible synergies that will maximize opportunities in the Cebu property market,” ALI said.

Targeted for launching by 2015, this new city center, which is within the vicinity of Cebu’s main business districts is envisioned to feature innovative residential developments and commercial space with retail and office components. It will also have direct access to major road networks and public transport facilities.