Villar stands by prices but ‘reluctantly’ reduces Villar City land estimates by 99% to secure audit

Tycoon Manuel Villar Jr.’s Villar Land is standing by soaring prices in Villar City, despite “reluctantly” agreeing to record newly purchased properties at 99 percent below the proposed P1.33 trillion to get its final audit over the line.

According to the Securities and Exchange Commission (SEC), Villar Land agreed to record 366.3 hectares of land in Villar City at  P8.6 billion, close to its acquisition cost of P5.2 billion in Sept. 2024. 

This was after external auditor Punongbayan & Araullo rejected the initial appraisal made by E-Value Phils Inc. that was completed in Feb. 2025. 

The dramatic reduction priced the land at P2,356 per square meter instead of the P365,700 per sqm estimate of E-Value. 

“We want to highlight that while the company firmly believes that it is the fair value of the Villar City properties that should be reflected in its financial statements,” Villar Land said in a statement on Thursday.

“[I]n the interest of securing the immediate release of the 2024 audited financial statements, it reluctantly proposed to the external auditors the use of cost basis in recording its said properties,” it added.

P&A sought additional audit procedures

Villar Land’s shares have been suspended from trading by the Philippine Stock Exchange since May due to its failure to submit audited financial reports.

The company acknowledged that delays were caused by valuation issues in the Villar City properties.

“We wish to clarify that the delay in the filing of the annual report and the [the first quarter of 2025] quarterly report is not due to the refusal of our external auditor to sign the 2024 audited financial statements but because of said auditor’s varying requests for additional audit procedures to review the valuation of the properties acquired by Villar Land in Villar City,” Villar Land said in the statement.

SEC fines 

Villar Land and its directors and officers also welcomed the opportunity to explain their side other matters raised by the SEC, including monetary penalties imposed on members of the Villar family and their executives. 

In an order dated Aug. 18 but published Wednesday, the SEC fined Villar Land and 12 officials, including tycoon Manuel Villar Jr., P12 million for violating securities and corporate laws.

“Villar Land and its directors and officers welcome the opportunity to explain their side on the issues raised and will respond to the SEC’s order in due course,” the company said.