MANILA, Philippines — The Philippine Estates Corp. (PHES), a real estate company owned by the Gatchalian family, recently concluded its P1.4 billion stock rights offering.
Proceeds from the rights offer will be used for the acquisition of land in Bulacan, Cavite, Cebu and Iloilo as well as for general corporate purposes as the company gears up for continued growth.
The offer shares have been fully subscribed with 16.22 million rights shares fully paid and 1.43 billion rights shares partially paid.
Of these shares, 1.37 billion shares were subscribed by the principal shareholder, Gatchalian’s Wellex Group, and other related parties.
As a result of the rights offer, Wellex and its affiliates ownership in PHES increased to over 50 percent, requiring it to make a tender offer to all remaining shareholders at a price supported by a fairness opinion provided by an independent financial advisor or equivalent third party.
PHES’ last capital raising was in September 1995 when it was still listed as Philippine Cocoa Estates Corp.