The offer drew strong interest from institutional investors, major FLI shareholders, and minority investors, with applications exceeding the cap by 2.3 times, a stock exchange filing on Wednesday showed.
The FLI shares were swapped at an exchange ratio of 0.32 FILRT shares for every 1 FLI share.
FILRT slipped 1.34 percent to P2.95 each while FLI shed 2.74 percent to P0.71 apiece as the broader Philippine Stock Exchange index declined 1.22 percent to 6,642.71.
Management’s view
“We are encouraged by the investing public’s robust support of our capped voluntary tender offer. Our efforts in delivering this value-enhancing initiative have paid off,” said Tristan Las Marias, FLI president and CEO.
“As we conclude this transaction, we have greater confidence in creating more shared benefits for shareholders of FILRT through asset infusions and for those of FLI with a virtuous cycle of capital appreciation,” he added.
REIT expansion potential
The tender offer increased FILRT’s public float to 46.68 percent, up from 34.48 percent, surpassing regulatory requirements for REITs.
This expansion not only positions FILRT for further growth but also allows FLI to comply with public ownership rules while retaining flexibility to infuse more assets into the REIT.
FLI shareholders who participated in the swap now gain access to FILRT’s robust portfolio of income-generating properties, which includes over 330,000 square meters of gross leasable area in offices and hotels.
