The property giant raised P2.67 billion after selling 75 million AREIT shares at P35.60 each, a 7.5 percent discount to the REIT’s previous closing price of P38.50.
The markdown was the widest among recent AREIT placements, topping the 6.57 percent discount seen in December 2024 and far exceeding the roughly 3 percent to 4 percent discounts that characterized most other block sales.
Notably, the discount widened even though the 75 million-share block was similar in size to several previous transactions and smaller than some placements completed over the past two years.
The deal was priced at the top end of the marketed range, showing demand for REIT assets such as AREIT remained intact.
It also highlights one of the primary functions of REITs: allowing developers to unlock capital from mature assets and redeploy it into future growth projects.
The timing is notable. Earlier this month, First Metro Securities downgraded Ayala Land and slashed its target price by almost half, citing slowing housing demand, weaker cash generation and balance-sheet pressures.
Ayala Land shares slumped nearly 4 percent to P12.98 each while AREIT shed nearly 6 percent to P36.30 per share.
The latest AREIT sale comes at a time when developers are placing a greater premium on capital flexibility, even as investors become more selective about the risks they are willing to take.
—Edited by Miguel R. Camus
