Vista Land, one of the country’s biggest residential developers, is raising funds mainly to refinance bank debts.
Focus on dividends
It aims to sell 30 million perpetual, cumulative, non-participating, non-voting, redeemable, and non-convertible shares plus an over-allotment option for 20 million shares at P100 each.
Preferred shares pay fixed dividends and have priority over common shares in asset distribution but typically lack voting rights.
October listing
Based on the latest deal circular, Vista Land will announce the dividend rate on Sept. 6 this year while the formal offer period will run from Sept. 16-25.
The target listing date on the Philippine Stock Exchange is on Oct. 4, 2024.
Bank debts
Proceeds will be used to refinance loans owed to BDO Unibank, Security Bank, and China Banking Corp., apart from various holders of corporate notes.
For the preferred shares offer, Vista Land hired BDO Capital & Investments, China Bank Capital, and SB Capital as joint issue managers, joint lead underwriters, and joint bookrunners.
Earlier this month, Vista Land raised P20 billion from the sale of corporate bonds, whose proceeds will be used to pay debts coming due in November.
