outbrain
Close  

Philrealty drops property-for-share deal with affiliate

/ 04:15 AM July 23, 2020

A deal back in 2018 made by property developer Philippine Realty and Holdings Corp. (Philrealty) to take over some real estate assets of affiliate Meridian Assurance Corp. (MAC) has been aborted.

“MAC recently started investing in real estate to generate capital gains and recurring rental income since it is no longer operating as a nonlife insurance company,” Philrealty said in a disclosure to the Philippine Stock Exchange on Wednesday. “Thus, MAC decided to just maintain its investment in the above-cited properties, consistent with the abovementioned strategy.”

ADVERTISEMENT

MAC agreed to swap various property assets, which back in 2018 had an average total market value of P81.21 million, in exchange for around 150.4 million shares of Philrealty.

In support of such new strategy, MAC’s controlling stockholder, Chinook Capital Holdings Corp. (CCHC), “deemed it a more judicious use of limited resources to allocate and provide funds directly to MAC instead of using up funds to own 100 percent of MAC,” the disclosure said.

FEATURED STORIES

MAC, which is 70-percent owned by CCHC, thus informed Philrealty that it no longer wished to push through with the property-for-share transaction. The assets consisted of three office condominium units and six parking slots in the Tektite Towers and two commercial condominium units and two parking slots in the Icon Plaza.

Led by the Lanuza family, Philrealty is the developer of urban projects such as The Alexandra, Philippine Stock Exchange Centre, The Alexis, La Isla, Casa Miguel, Andrea North and SkyVillas Tower.

Philrealty officially exited court-assisted corporate rehabilitation in 2017, becoming the first publicly listed company battered by the Asian financial crisis to graduate from court receivership.

Subscribe to Inquirer Business Newsletter
Read Next
EDITORS' PICK
MOST READ
Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: meridian assurance corp., PhilRealty
For feedback, complaints, or inquiries, contact us.


© Copyright 1997-2020 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.