Suntrust Home Developers Inc plans to expand into real estate development. Suntrust president Ferdinand B. Masi said the company will use proceeds from a planned PHP 20-billion stock rights offering to finance land acquisition to support the venture.
Suntrust shareholders approved today the increase in its PHP 3-billion capital stock to PHP 23 billion divided into 23 b common shares with a par value of PHP 1 each.
The shares involved in the rights offer will be taken from the capital stock hike. Suntrust shareholders can subscribe to 2.5 new shares for each share held at PHP 1 per share, equivalent to the par value of the shares.
The company is still finalizing the details of the rights offer.
The listed company conducts its operations through wholly owned subsidiary, First Oceanic Property Management Inc (FOPMI), which is engaged in property management of residential and office buildings and private estates.
Suntrust acquired FOPMI, the property management arm of the Megaworld Group, three years ago.
Suntrust also owns Citylink Coach Services Inc, which provides transport and shuttle rental services within Metro Manila and nearby provinces.