November 26, 2022

Premiere Island Power REIT Corp., Villar Group’s second real estate investment trust (REIT), has reduced its offer price by 25 percent to Ptas 1.50 from the previous target price of Peso 2 per share.

Premiere REIT maintained its offering size of 1.4 billion secondary shares and 210 million over-allotment option shares.

Net proceeds from the offering could reach as high as Ps2.41 billion from the previous level of Ps3.09 billion, assuming the over-allotment option is fully exercised. The selling shareholders will receive the full proceeds, which will be reinvested in the Philippines.

The company is said to be the power and infrastructure REIT platform of Prime Asset Venture Inc., the holding company for the businesses of Manuel Paolo A. Villar, son of Manuel B. Villar Jr.

The shares mentioned are held by their sponsors SI Power Corp. (SIPCOR) and Camotes Island Power Generation Corp. (CAMPCOR) sold.

Premiere REIT’s offering period runs from November 28 to December 5, while the preliminary listing date is December 15. It will bear the stock symbol PREIT.

“REITs have become a popular asset class among investors over the past two and a half years. We welcome further listings in this space to expand the REIT options available to investors,” said Ramon S. Monzon, President and CEO of PSE.

Assuming full exercise of the over-allotment option, new investors will acquire 42.6 percent of PREIT’s issued and outstanding common shares, while SIPCOR and CAMPCOR will retain a 57.4 percent interest. The company hired China Bank Capital Corp. as sole underwriter, underwriter and bookrunner for the offering. RCBC Capital Corp. will also act as a participating underwriter.