1. What is the Follow-On Offering (FOO) of Cebu Landmasters, Inc. (“CLI”)?
CLI is offering up to 5 million shares or ₱5 Billion at an offer price of ₱1,000 per share consisting of a base offering of up to 3 Million Shares to be offered in two (2) series (Series A-1 or “CLIA1”and Series A-2 or “CLIA2” Preferred Shares) and an oversubscription option of another 2 million preferred shares.
2. What is an FOO?
FOO stands for Follow-On Offering. It is a public offering of additional shares after a company's initial public offering (IPO).
3. Who is the issuer?
Cebu Landmasters, Inc. (CLI) is the issuer of the FOO. CLI, incorporated on September 26, 2003, and registered with the Securities and Exchange Commission, specializes in real estate development, sales, and leasing. Over the years, CLI has expanded its portfolio from a single residential project in 2003 to include residential, office, hotel, retail, and estate developments. Serving various segments including high-end, middle, economic, and socialized housing, CLI has nearly 100 projects at different stages of construction as of December 31, 2022. These projects are situated across Cebu, Bohol, Misamis Oriental, Negros Oriental, Negros Occidental, and Davao.
4. What are the details of the offering?
Stock Symbol | CLIA1 (Series A-1) and CLIA2 (Series A-2) |
Offer Size | Up to 5M shares or P5B (Base Offer 3M shares plus 2M oversubscription option) |
Par Value | ₱1.00 per share |
Price | ₱1,000 per share |
Dividend Rate |
CLIA1: 7.5850% CLIA2: 8.2500% |
Dividend Rate Step-Up |
Series A-1: by the 4th anniversary of Issue date, higher of a) initial div rate; or b) 7Y BVAL + 300bps Series A-2: by the 7th anniversary of Issue date, higher of a) initial div rate; or b) 15Y BVAL + 300bps |
Dividend Payment Dates | Quarterly (July 12, Oct 12, Jan 12, Apr 12) |
Allocation per broker | 4,910 shares or ₱4,910,000.00 |
Minimum Subscription | 50 shares and in multiples of 10 shares thereafter |
Offer Period | March 19- April 2, 2024 |
Deadline of firm reservation and full payment to FMSBC | March 22, 2024, 12noon |
Listing Date | April 12, 2024 |
Joint Issue Managers | BPI Capital and China Bank Capital |
Joint Lead Underwriters and Joint Bookrunners | BPI Capital, China Bank Capital, PNB Capital, RCBC Capital |
5. What are the key characteristics of the CLI Preferred Shares?
The shares are perpetual, cumulative, non-participating, non-voting, redeemable, and non-convertible Philippine Peso-denominated Series A-1 (CLIA1) and A-2 (CLIA2) Preferred Shares.
6. What is the intended use of the proceeds?
CLI will use the net proceeds to partially finance project development or capital expenditures of the Issuer’s various projects, and for general corporate purposes.
7. Where can I learn more about CLI’s Follow-On Offering?
Investors can refer to official announcements and disclosures from CLI’s official website and the Philippine Stock Exchange (PSE). Investors are advised to carefully review the offer terms and conduct their own due diligence before participating.
See PSE’s Listing Notice HERE.
8. How do I participate in the CLI’s FOO Series A-1 (CLIA1) and A-2 (CLIA2) Preferred Shares?
Log in to your FirstMetroSec account and go to ACCOUNT > CORPORATE ACTIONS. Please ensure that you have enough cleared/withdrawable funds before participating.
You may also refer to the full instructions HERE.