Megaworld raises P500M in MREIT block sale

TAN-led property developer Megaworld Corp. said it has finalized a P500-million transaction involving the sale of common shares in its real estate investment trust (REIT).

Megaworld sold 40.65 million common shares of MREIT, Inc. at a price of P12.30 each under a block sale arrangement, as disclosed in a regulatory filing on Thursday.

BDO Securities Corp. was tapped as the broker for the transaction.

“The proceeds from the block sale will be settled on April 22. The company will submit the required reinvestment plan detailing the use of proceeds from the block sale transaction,” Megaworld said.

MREIT’s portfolio consists of 18 office and commercial assets with an aggregate gross leasable area of 325,424 square meters.

Its properties include 1800 Eastwood Ave., 1880 Eastwood Ave., and E-Commerce Plaza in Eastwood City, One World Square, Two World Square, Three World Square, 8/10 Upper McKinley, 18/20 Upper McKinley, and World Finance Plaza in McKinley Hill.

Also included in the company’s portfolio are One Techno Place, Two Techno Place, Three Techno Place, One Global Center, Two Global Center, Festive Walk 1B, and Richmonde Tower in Iloilo Business Park, and One West Campus and Five West Campus in McKinley West.

Megaworld recorded a 29% increase in its 2023 attributable net income to P17.3 billion as its consolidated revenue jumped by 17% to P69.7 billion.

MREIT saw a 13% improvement in its distributable net income to P2.8 billion last year from P2.5 billion in 2022 as revenue surged by 14% to P4.2 billion.

On Thursday, Megaworld stocks were unchanged at P1.74 apiece while MREIT shares climbed by 0.31% or four centavos to P12.84 per share. — Revin Mikhael D. Ochave