Philippine stocks: Gainers, losers, market-moving news – January 2022

Lopez-led ABS-CBN Corporation is selling 21.3 million of its treasury shares and 27.8 million of its Philippine Depositary Receipts (PDRs) to institutional buyers at the price of P15.23 for each common share or PDR. 

The ABS-CBN board decided that the price was based on a 12% premium over the closing price of the ABS-CBN share last January 20. 

The selling price represents a 19% premium over the 30-day volume weighted average price of the common shares. 

In the event that none of the shares are taken up by the institutional buyers, Lopez Incorporated said it is willing to purchase up to P500 million of such shares and PDRs at the same price.

Xurpas co-founder Nix Nolledo injected P100 million of fresh capital into the company, proceeds of which will be primarily for core business expansion and staff augmentation.

In a stock exchange filing on Friday, January 21, Xurpas said that the fresh funds raised through common shares issuance will also be used for employee benefits enhancement, research and development, upgrade and replacement of equipment, and general corporate purposes.

Nolledo’s subscription price was based on Xurpas’ 30-day weighted average share price, wherein the 25 days prior to signing date and the five days after signing date will determine the calculation. The subscription price is subject to 5% premium, and shall also have a floor price of P0.55 per share.

“The past two years have been quite challenging, all the more so due to the ongoing pandemic. But there have also been opportunities for growth, as many companies try to accelerate their digital transformation and other IT initiatives,” said Mar Corpuz, Xurpas president.

Andrew Tan’s Megaworld Corporation is set to purchase 2.2 hectares of prime real estate from Manila Jockey Club.

The property forms part of the 16-hectare San Lazaro Tourism and Business Park in Manila.

“Currently, our big projects in the City of Manila are concentrated in Binondo district, particularly within our Lucky Chinatown project where we have a lifestyle mall, condominium towers, a cultural museum, and a hotel. When we finalize the purchase of this land in San Lazaro, this will surely be part of our township portfolio expansion in Metro Manila,” said Kevin Tan, Megaworld’s chief strategy officer.

Megaworld has close to 5,000 hectares of land bank across the Philippines.

The Philippine Stock Exchange on Wednesday, January 19, approved the P10.1-billion initial public offering of Citicore Energy REIT Corporation (CREIT).

CREIT will offer 1.047 billion common shares and 1.74 billion secondary shares, with an overallotment option of up to 418.3 million shares at P3.15 apiece.

CREIT’s portfolio includes eight solar farms with a total capacity of 163 megawatts. It aims to raise an additional 1,500 MW from new solar farms in the next five years.

The final offer price is set to be determined on January 26, with the offer period scheduled from February 2 to February 8, while the listing date is on February 17.