Asiabest Group International Inc. expects to receive assets worth P15 billion in the form of shares of stocks in companies owned by its chairman, Francis Lloyd Chua in a complicated share-sale-swap deal.
In a disclosure Wednesday, the company told the Philippine Stock Exchange (PSE) that Industry Holdings and Development Corp. (IHDC) and Premium Lands Corp. (PLC) will subscribed to a combined 600 million shares of Asiabest at an issue price of P25 per share, or P15 billion that will be paid through the transfer of shares of stocks of Concrete Stone Corp. (CSC), Industry Movers Corp. (IMC), and Kabalayan Housing Corp.
At the same time, Asiabest will also subscribe to 10 million primary common shares of CSC at a discounted price of P 15.00 per share, or P150 million, to provide working capital to CSC and in line with the plan to fold in CSC as a subsidiary, the company said.
Asiabest executives on Tuesday approved the increase in the authorized capital of the company to P3 billion from P600 million, divided into 3 billion common shares with a par value of P1.
Of the newly created shares, Asiabest will issue up to 600 million common shares through a follow-through offering, with the terms still to be finalized.
The company likewise will be issuing another 300 million common shares through a private placement in one or more tranches, terms of which the company’s board of directors has yet to finalize.
