Premiere Horizon Alliance Corp. (PHA) has entered northern Luzon’s real estate market with a deal to acquire 55% of Goshen Land Capital Inc. (GLCI), a Baguio City-based property developer, for PHP 440 million.
PHA will invest in GLCI by buying a mix of primary and secondary shares at a price per share of PHP 500.00.
Upon signing of the memorandum of agreement, PHA will initially subscribe to new 270,000 shares plus 280,000 shares from the majority shareholder for a total of 550,000 shares or 55% out of the total authorized capital of one million shares.
Thereafter, GLCI will increase its authorized capital to 1.6 million shares of which PHA will subscribe to additional 330,000 shares amounting to PHP 165.0 million, bringing total ownership to 880,000 shares to maintain a 55% interest.
The existing shareholders will end up with 720,000 shares or 45% stake.