Ayala Corporation announced that it assisted its real estate unit, Ayala Land, Inc. in raising funds through a placement of 399,528,229 common shares at a price of P30.50 per share. The placement was conducted via an overnight bookbuilt offering structured as a top-up placement with all the proceeds to be received by Ayala Land.
The equity placement is expected to raise an aggregate of P12.2 billion in proceeds which Ayala Land intends to use for its next phase of expansion. Ayala Land has set aside P66 billion in planned capital expenditure this year for its various projects.
Ayala Corporation Chairman and CEO Jaime Augusto Zobel de Ayala said: “This second round of equity placement will further provide Ayala Land the flexibility to pursue its growth plans as it continues to build a robust development pipeline moving forward. We are delighted to assist Ayala Land in this transaction and once again encouraged by the support of the investing community.”
As a result of this transaction, Ayala Corporation’s holdings in ALI common shares will be reduced to 49.0% from 50.4% but it will retain voting control at over 70% ownership of the voting shares.
Ayala Corporation’s share price last closed at P586 per share reflecting a 13% increase year-to-date. Ayala Land’s share price has likewise increased by 24% year-to-date, closing at P32.85 per share yesterday.
The above statement is based on the disclosure made on March 6, 2013, to the Philippine Stock Exchange and Securities and Exchange Commission by Ayala Corporation CFO Delfin Gonzalez, Jr.
This announcement is not an offer for sale of securities in the United States. The securities referred to herein (the “Securities”) have not been registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), and may not be sold in the United States absent registration or an exemption from registration under the Securities Act. The issuer of the Securities does not intend to register any part of the placement in the United States or to conduct a public offering of the Securities in the United States.