STA. LUCIA LAND, Inc. (SLI) is raising up to P6 billion through a debt issuance by the third quarter of the year to finance joint ventures and increase its land bank, it told the stock exchange yesterday.
In its disclosure, the developer said its board of directors approved the capital-raising plan in a special meeting on Tuesday, “for land bank acquisitions, acceleration of ongoing projects and funding of new projects, subject to compliance with applicable requirements.”
“Actually, this was already approved by the board and the shareholders two years ago, but it did not push through so I had it approved again so it would be ready if the banks need it,” Sta. Lucia Chief Financial Officer David M. Dela Cruz said in a phone interview yesterday.
The board also authorized the company to enter into 10 joint ventures for the development of properties covering a total of 143 hectares in Davao, Rizal, Batangas, Laguna and Pasig City.
Some of the projects are “extensions of existing developments,” according to previous disclosures, such as Ponte Verde, Greenwoods Executive in Pasig City, Metropolis East in Rizal, Golden Meadows in Laguna and Metropolis in Iloilo.
The ownership of the joint venture projects could be 50-50 or 60-40, wherein the partner contributes the land and Sta. Lucia would be the one to develop it.
The company was also allowed to sell wholly owned subsidiary Santa Lucia Ventures, Inc. to predecessor Sta. Lucia Realty & Development, Inc. at book value, SLI Assistant Corporate Secretary Pancho G. Umali said in the disclosure.
Originally incorporated in 1996 as Zipporah Mining and Industrial Corp., Sta. Lucia changed its primary purpose to that of a real estate company in 1996. Its portfolio consists of horizontal and vertical properties across the country, as well as a shopping mall in Cainta — Sta. Lucia East Grand Mall.
Shares in the company ended unchanged yesterday at 80 centavos apiece.