MEGAWORLD Corp. has raised about P3.38 billion from the sale of roughly 246.14 million shares in its real estate investment trust, MREIT Inc.
In a disclosure on Wednesday, the property developer reported the sale of 246,138,579 MREIT common shares at P13.75 apiece, generating gross proceeds of approximately P3.38 billion before fees and taxes.
The transaction is scheduled for settlement on June 11.
Megaworld said it would submit the required reinvestment plan detailing how proceeds from the block sale would be used.
Following the transaction, the company is expected to remain the controlling sponsor and major shareholder of MREIT.
MREIT owns a portfolio of office properties leased primarily to business process outsourcing firms, multinational companies and corporate tenants.
Megaworld is the primary real estate subsidiary of listed holding company Alliance Global Group Inc.
AB Capital Securities, BDO Securities and Maybank Securities acted as brokers for the transaction.
Megaworld shares on Wednesday dropped P0.02, or 1.00 percent, to close at P1.98 each.
