The Securities and Exchange Commission has approved a plan by boutique property developer Arthaland Corp. to raise as much as P3 billion in fresh funds for expansion from a public offering of preferred shares over a three-year period.
The SEC has approved Arthaland’s plan for the shelf registration of up to 30 million cumulative, non-voting, non-participating, non-convertible, redeemable peso-denominated shares at an offer price of P100 per share.
Based on SEC documents, Arthaland will initially offer up to P2 billion worth of these preferred shares.
Arthaland’s follow-on offering is broken down as follows:
-up to 10 million series B preferred shares that will be offered and sold by way of a primary offering at an offer price of P100 per share;
-up to 10 million series B preferred shares as oversubscription option at an offer price of P100 per share; and
-up to 10 million preferred shares as shelf registration at an offer price of P100 per share.
This fund-raising is seen to boost the company’s war chest for expansion in the property sector, which is seen to benefit from the growth of the domestic economy especially with the increase in infrastructure spending committed by the Duterte administration.