LISTED developer Double Dragon Properties Corp. said it has received approval from the Securities and Exchange Commission (SEC) to increase its authorized capital stock to P20.5 billion.
In a disclosure to the Philippine Stock Exchange (PSE), DoubleDragon said that the SEC has approved its application for the amendment of its Amended Articles of Incorporation, which would enable it to create preferred shares and increase its authorized capital stock.
According to DoubleDragon, the capital stock of P20.5 billion will be divided into 5 billion common shares with a par value of P0.10 per share and 200 million preferred shares with a par value of P100 per share.
The property developer also said that it has secured the SEC’s approval for the issuance of preferred shares following the company’s successful offer and distribution of subscriptions to 100 million preferred shares worth a total of P10 billion.
“With the SEC approval, the preferred shares are considered issued to the stockholders,” DoubleDragon said.
The company said it filed its application for the increase of its capital stock and the creation of preferred shares last April 13. “The SEC approved on April 14, 2016 and released the Certificate of Filing Amended Articles of Incorporation on April 15, 2016,” it said.
Last March, DoubleDragon received the SEC’s go signal for the issuance of preferred shares worth up to P10 billion.
The company said that the proceeds of the offer will be used to partially finance the development of several projects such as CityMalls, DoubleDragon Plaza at DD Meridian Park, Jollibee Tower and The SkySuites Tower.
Aside from the SkySuites Tower, the said projects are part of DoubleDragon’s five-year vision of developing 1 million square meters of leasable space by 2020.
In 2015, DoubleDragon posted an 11 percent increase in net income to P623 million from P561 million in the previous year, which it attributed mainly to recognized sales from its various projects.