Ferronoux acquiring P4.3 billion property adjacent to Okada Manila

MANILA, Philippines — Ferronoux Holdings Inc., a listed company led by Michael Cosiquien, is set to acquire parcels of land adjacent to the Okada Manila integrated casino resort in Parañaque City worth P4.3 billion in a property-for-share swap deal.

The deal involves the issuance by Ferronoux of up to 918 million common shares at about P4.70 per share in exchange for three parcels of land owned by Eagle 1 Landholdings Inc. with a total area of 94,144 square meters.

“Currently, a portion of the property is being used to house the support facilities of the Okada casino complex, which will eventually be vacated once construction of master planned development commences,” Ferronoux said.

“The company and Eagle 1 intend to jointly develop the properties to realize the full potential value of the properties through the company’s resources, including, but not limited to, the ability to raise funds from the public,” it said.

Upon completion of all closing conditions, new shares out of an increase in the capital stock of Ferronoux will be issued to Eagle 1.

Ferronoux is seeking to hike its authorized capital stock to P2.5 billion from P550 million. It also intends to list 1.46 billion new common shares on the Philippine Stock Exchange (PSE).

Newly elected Ferronoux directors Abel Almario and Philipe Aquino serve as vice president and corporate secretary of Eagle 1, respectively.

In line with the property-for-share swap with Eagle 1, trading of Ferronoux shares were suspended yesterday by the PSE pending the company’s compliance with the applicable requirements under the revised backdoor listing rules.

“The property-for-share swap with Eagle 1 is covered by the exchange’s revised rules on backdoor listing. Said determination is anchored on the transaction resulting in or will result in a change of control of Ferronoux and a substantial change in Ferronoux’s business,” the PSE said.

The board of Ferronoux has also approved a private placement of Themis Group Corp. by way of subscription to additional 240 million common shares in the company at P1 apiece to be issued from the increase in its capital stock.

Ferronoux earlier approved a private placement of Themis by way of subscription to a total of 80 million common shares in the company.

Themis is a domestic corporation incorporated in January with a primary purpose of engaging in activities of a holding company.

The company, which is chaired Almario, seeks to establish partnerships with key stakeholders to venture into property development and capitalize on other promising investment opportunities with substantial growth potential.

Through its partnership with its new investor Themis Group, Ferronoux targets to establish a presence in the real estate sector, with focus on mixed-use developments that combine residential, commercial and recreational spaces.