CLI approves issuance of P5 billion preferred shares

MANILA, Philippines — Cebu Landmasters Inc. (CLI), the listed property developer focused in the Visayas and Mindanao regions, will issue five million Series A preferred shares to raise up to P5 billion.

In a disclosure Tuesday, CLI said its board of directors approved the offering which comprises of a base offer of up to three million shares plus an over subscription option of two million.

Proceeds of the offer will be used for general corporate funding requirements.

CLI will seek the approval of the Securities and Exchange Commission (SEC) and the Philippine Stock Exchange for the share offering.

The company earlier received the greenlight for the amendments to its Articles of Incorporation, which include the creation of a new class of CLI preferred shares through the reclassification of one billion common shares with a par value of P1.00 per share to one billion Series “A” preferred shares.

The Series “A” preferred shares, which shall be redeemable, cumulative, and non-voting, will be issued through a private and/or public offering, subject to the necessary approvals from government regulators.

The move will allow CLI to continue growing after reporting a 28 percent jump in net income from January to September last year.