Gokongwei-led Robinsons Land Corp. pulled off 2021’s largest initial public offering at P21.56 billion. The maiden share sale of bilyonaryo Andrew Tan’s Megaworld REIT came in second with P15.29 billion followed by Injap Sia’s DD Meridian Park REIT (P14.7 billion), Filinvest REIT (P12.58 billion and Ayala Land’s AREIT (P12.28 billion).
The total size or market capitalization of these REITs amounted to $3.46 billion or 0.96 percent of the Philippines’ gross domestic product (GDP) of $362.24 billion as of the third quarter of 2021, based on the global survey conducted by the European Public Real Estate Association (EPRA).
This places the country’s less than 2-year old REIT sector in the middle of the pack among 12 selected economies in the South and East Asian regions in the EPRA Index, ahead of Taiwan, South Korea, India, Indonesia, and China, the Securities and Exchange Commission said in its report to Finance Secretary Carlos Dominguez.
The finance chief said the successful initial public offerings (IPOs) of REITs reflect a “vote of confidence in the country’s ability to tread a path towards a solid recovery despite the difficulties spawned by the unprecedented pandemic-induced health and economic crises.”
The 5 REITs that have raised funds from their IPOs and stock trading have reinvested or plan to reinvest their proceeds in malls, office towers, hotels, dormitory residences, warehouses and storage buildings, residential buildings, mixed-use developments, and industrial lots and land acquisitions, retail projects, commercial center, industrial developments and real estate joint ventures.
Of the P79.87 billion required to be reinvested by the 5 REITs, a total of P22 billion had been reinvested as of Nov. 15 by AREIT, DDMP, FilREIT, and RCR.
SOURCE: Bilyonaryo
