A Brown gets green light for P1.5 B share offer

A Brown Co. Inc. has secured approval from the Philippine Stock Exchange (PSE) to raise up to P1.5 billion through a preferred shares offering.

A Brown is selling 10 million preferred shares comprising Series B and C, with an oversubscription option for an additional five million preferred shares for P100 apiece.

The proceeds of the fundraising activity would be used for the development of A Brown’s residential projects in Mindanao and Luzon, land banking efforts, as well as other general corporate purposes.

“We are delighted to have received the PSE’s approval for our preferred shares offering. This marks an important milestone for A Brown as we continue to pursue our vision of creating sustainable and thriving communities,” A Brown CEO Robert Pizarro said.

The offer period commenced on Monday and is set to end on Feb. 16. Listing date is eyed on Feb. 23.

Tapped as sole issue manager, lead underwriter, and sole bookrunner for the preferred shares offering is PNB Capital and Investment Corp.

A Brown is a Mindanao-based property developer with a diversified portfolio covering residential and commercial real estate projects.

The company has also ventured into power generation, public utilities, and agribusiness.

In the first nine months of 2023, A Brown reported record revenues of P1.1 billion and net income of P484 million.

A Brown is set to complete its Tanay electron beam and cold storage facility, funded through the company’s maiden offering in 2021, next month, with anticipated contributions to earnings this year.