The Board of Directors of Philippine National Bank yesterday has approved the declaration of shares of PNB Holdings Corp. as property dividends to the stockholders of PNB on record as of May 18, 2021.
Property dividends occur when a company declares and distributes assets other than cash, such as shares of stocks in a company’s subsidiary or affiliate or tangible products of the company.
Through the distribution of PNB Holdings Corp. shares via the declaration of the property dividends, all shareholders of PNB will become part owners of PNB Holdings, allowing them to benefit from future potential gains from the development of the properties, either through potential dividends and/or through the increase in the valuation of the shares.
Wick Veloso, PNB president and chief executive officer, said the timing of the development of these properties “are already being studied by the real estate experts, who are already working closely with PNB Holdings Corp. and PNB.”
“The distribution of PNB Holdings shares through the dividend declaration allows PNB stockholders to share from the benefit of the realized values of the properties and any future valuation gains.” – Jimmy Calapati
