Alliance Global Group Inc. (AGI) is looking to raise as much as P27.7 billion through a warrant sale and the eventual exercise of those warrants into common shares, as the conglomerate seeks to strengthen its balance sheet and ramp up real estate investments.
The listed investment holding company of tycoon Andrew Tan will offer 2.23 billion warrants at P0.50 each from December 4 to 11, with each warrant giving its holder the right to buy one Alliance Global common share at an exercise price of P12. The warrants—sourced from unissued AGI shares—will be listed on the Philippine Stock Exchange.
BDO Capital & Investment Corp. will serve as the sole issue manager, underwriter, and bookrunner.
Shareholders on record as of November 20 may subscribe to one warrant for every share they own. The Andresons Group Inc. (TAGI), Alliance Global’s principal shareholder with a 54.1 percent stake, has committed to subscribe to its entitlement and mop up any leftover warrants to ensure the offer is fully taken up. Any remaining balance will be absorbed by BDO Capital, which will place these with qualified institutional buyers or purchase the warrants itself.
The company expects P1.11 billion in gross proceeds from the offer and P26.71 billion more once all warrants are exercised during the designated period.
Alliance Global plans to deploy up to P17.7 billion to prepay a portion of a USD500-million loan of its Cayman Islands unit with BDO Unibank. The loan—maturing in 2027—was originally incurred in 2022 to refinance a previous facility used to settle maturing bonds.
Another P10 billion will fund equity investments in Travellers International Hotel Group Inc., supporting construction and expansion projects across Westside City, Mactan, Boracay, and the Newport Integrated Resort. These developments are central to AGI’s long-term push in tourism, entertainment, and MICE facilities as it continues to scale its integrated resort portfolio.
Alliance Global currently has 10.27 billion listed shares, of which 8.81 billion are outstanding. Total issued shares could rise to 12.49 billion if all warrants are exercised.
