Robinsons Land Corp. said yesterday it raised P7.75 billion in new funds from the sale of 1 billion common shares in its real estate investment trust unit, RL Commercial REIT Inc. (RCR).
The Gokongwei-controlled realtor said it sold the shares at P7.75 per share through a private placement, a five percent discount from RCR’s Monday close of P8.17. It closed Tuesday’s trading at P7.80 per share.
“The transaction saw strong demand from high-quality institutional investors, with the offer oversubscribed by 3.7x,” Robinsons Land said. “This allowed the offer to be priced at the high end of the price range and a transaction upsize to 1.0 billion shares.”
“The final allocations were anchored by local institutional investors, with fresh foreign investors likewise participating in the offer,” it added.
Robinsons Land was initially looking to sell an initial 4 billion shares in a transaction that was facilitated by BPI Capital Corp. as sole global coordinator and sole domestic placement agent.
The investment bank was joined by JP Morgan Securities Plc and Maybank Securities Pte. Ltd. as joint bookrunners. JP Morgan and Maybank Securities meanwhile also served as international placement agents.
Robinsons Land said the placement increased RCR’s public float 39.34 percent.
“The placement shares will not be registered with the Philippine Securities and Exchange Commission under the SRC,” Robinsons Land said, but stressed that any future offer or sale of the placement shares by the buyers “is subject to the registration requirements of the SRC unless such offer or sale qualifies as an exempt transaction in accordance with the applicable requirements of the Securities Regulation Code (SRC).”
The sale was crossed in Tuesday’s trade.
Robinsons Land said it will submit the required reinvestment plan for the use of proceeds from the sale.
