RL Commercial REIT Inc. said Wednesday it has expanded its asset portfolio with the completion of a swap of its shares with 13 commercial assets of its sponsor, Robinsons Land Corp. The transaction was valued at P33.92 billion.
RL Commercial exchanged 4.99 billion shares, each valued at P6.80 using the stock’s 30-day volume weighted average price, for the 10 shopping malls and three office buildings with total gross leasable area of 347,329 square meters. The transaction had been previously approved by Robinsons Land’s board and shareholders.
The Robinsons malls included in the transaction are those located in Quezon City and in the province of Batangas, Cavite, Laguna, Leyte, Nueva Ecija, Palawan, Rizal, and Tarlac while the office buildings are in Quezon City and Davao City.
The properties were valued by Asian Appraisal Co., Inc using discounted cash flow as the primary method while a third-party fairness opinion was issued by FTI Consulting Philippines Inc.
The Transaction will qualify as a tax-free exchange under Section 40(C)(2) of the Tax Code.
