MJC Investments Corp. (MJIC), the hotels and tourism subsidiary of Manila Jockey Club Inc., has secured additional investments from a Hong Kong-based investor consortium led by banking taipan Teik Seng Cheah.
In a disclosure to the stock exchange, MJIC said its board of directors approved the additional subscription of shares amounting to P673.79 million from the Hong Kong-based group, with the shares priced at P1 each.
MJIC said the funds generated will be used for the ongoing construction of its hotel and entertainment project in Santa Cruz, Manila. No details were provided for the project.
Besides the Santa Cruz project, MJIC is also developing a P3.5-billion luxury hotel within San Lazaro Business and Tourism Park.
The Hong Kong consortium led by Cheah originally took a 33-percent stake in MJIC through an initial subscription of 450 million shares (priced P1 apiece) in January 2013. The initial investment was said to partly finance the construction of the San Lazaro luxury hotel.
Cheah is the managing director of ECM Libra Financial Group Berhad, a Malaysian-listed financial services group.
MJIC has reduced its net loss in the first six months of 2014 to P8.47 million from P17.02 million in the same time the previous year, as revenues went up to P6 million in the first semester last year from the P4.23 million a year ago.
MJIC is a hotel and tourism subsidiary of listed Manila Jockey Club Inc., one of two horse-racing clubs in the Philippines and one of the oldest in Asia.