LISTED Italpinas Development Corp. (IDC) has secured a new investor via a private placement deal worth P187.93 million.
On Friday, IDC signed an agreement with businessman Benjamin Tan Co, who purchased 15% of the company’s primary shares at P1.99 each, totaling P187.93 million, through a private placement.
In 2022, IDC secured stakeholders’ approval for a transaction to issue up to 20% of primary new shares to an incoming investor, which will be used for the acquisition of properties for future projects.
“It has taken us over two years to find the ideal strategic investor. A key decision such as this demands that we decide carefully and deliberately. With his years of experience, and his prominence and reputation in the business community, Mr. Co will be a great partner to IDC as it continues to grow,” IDC Chairman and Chief Executive Officer Romolo V. Nati said in a statement over the weekend.
According to IDC, Mr. Co has interests in various businesses such as petrochemicals, polyvinyl chloride resins and products, and steel manufacturing.
Mr. Co and his family and associates control land holdings in Palawan, Cavite, Boracay, Pampanga, Quezon Province, and Quezon City.
In June, IDC and Mr. Co signed a co-development joint venture for a property in Puerto Princesa, Palawan.
“I believe that this synergy between the two groups will allow IDC to unlock its full potential in becoming the leading developer of sustainable properties in the country,” IDC President Jose D. Leviste III said.
IDC is a developer of sustainable properties. The company has real estate projects in the provinces of Misamis Oriental, Batangas, Bukidnon, and Bataan. It has plans to expand into multiple locations nationwide.
Some of IDC’s projects include Primavera Residences, Miramonti Green Residences, Verona Green Residences, and Firenze Residences.
The company also plans to develop assets in the tourism and hospitality market, following through on a partnership signed with the Ascott group last year.
“The Philippine economy has a bright and dynamic future, and this includes real estate, especially in areas outside Metro Manila that are still relatively underserved,” Mr. Co said.
“With a track record of 15 years in the industry, its proven capabilities, outstanding Italian green architecture, and full commitment to sustainable development, IDC is a perfect strategic partner for me to join and develop my property portfolio,” he added.
For the first nine months, IDC saw a 64.5% drop in net income to P4.37 million as net sales fell by 40.5% to P180.72 million.
IDC shares were last traded on Nov. 22 at P1.39 per share. — Revin Mikhael D. Ochave
