Sy-owned Belle to raise P5B from share sale
MANILA, Philippines – Henry Sy-led Belle Corporation and 3 other selling shareholders of gaming firm Premium Leisure Corporation (PLC) are raising P5.38 billion ($119.54 million) from the sale of 3.263 billion shares.
Priced at P1.65 ($0.04) a share, the offer price represents a 10.3% discount to PLC’s closing price of P1.84 ($0.04) per share on September 18, before trading of the stock was suspended ahead of planned share sale.
Expected proceeds from the share sale would even go up by another P807.7 million ($17.98 million) as Belle agreed to sell another 489.556 million PLC shares to cover over allotment. If exercised, total proceeds will reach P6.2 billion ($138 million).
City of Dreams Manila is a $1.3-billion integrated resort and casino featuring 3 international hotels namely Nobu Hotel, Hyatt, and Crown Tower; entertainment and attractions; various specialty restaurants and bars; and gaming facilities.
It will be the second casino project in the Philippine Amusement and Gaming Corporation (PAGCOR) Entertainment City in Parañaque after Solaire Resorts & Casino owned by Bloomberry Resort Corporation of businessman Enrique Razon.
PLC, formerly Sinophil Corporation, said Belle will sell 3.003 billion shares worth P4.95 billion ($110.18 million); Foundation Capital Resources Inc. will sell 156.530 million shares worth P285.2 million ($6.34 million); Parallax Resources Inc. to sell 13.823 shares valued at P22.8 million ($640,006.18), and APC Group Inc. will sell 90 million shares valued at P148.5 million ($3.30 million).
The selling shareholders hired CLSA Limited, Credit Suisse (Singapore) Limited, and Macquarie Capital (Singapore) Pte Limited to act as the joint global book runners.
From September 19 to 26, the selling shareholders also conducted a roadshow to meet with potential investors both locally and abroad.
During the period, the PLC requested for the suspension of the trading of its shares to avoid speculative dealing.
Widening public ownership
In August, Belle reported that it plans sell as much as $200 million worth of shares in Sinophil to improve liquidity and widen the public ownership of the stock.
Belle earlier transformed PLC as its purely gaming firm by injecting Premium Leisure & Amusement Inc. (PLAI) into the company.
PLAI is part of the consortium that holds the PAGCOR license for City of Dreams Manila to be operated by Melco Crown Philippines and located in PAGCOR Entertainment City.
Belle also transferred its 34.5% interest in lotto operator Pacific Online Systems Corporation.
In return, Belle will get Sinophil’s property assets including membership shares in Tagaytay Midlands Golf Club Inc.; a lot located within the ASEAN Business Park at the Manila Bay Reclamation area; several parcels of land in Tagaytay; and an undeveloped land location in Tanauan City, Batangas.
Belle will also continue to develop its other assets, particularly the Tagaytay Highlands and Midlands complexes. – Rappler.com
($1 = P45)