The operator of Manila’s Solaire Resort Entertainment City, Bloomberry Resorts Corp, said in a Monday filing that it had raised net proceeds of Php5,488,000,000 (US$96.4 million) following the successful completion of a placing and subscription transaction involving one of its controlling shareholders, Quasar Holdings, Inc.
Under the terms of the two-part transaction, Quasar offered 559 million of its shares in Bloomberry to investors outside of the United States at an offer price of Php10 per share or Php5.59 billion (US$98.7 million) in total.
The second part of the transaction saw Bloomberry issue and Quasar subscribe to new shares in the same number and at the same price as the shares sold in the Quasar offer.
Bloomberry said Monday that the “conduct of an equity fund raising by way of a placing and subscription transaction allowed Bloomberry to raise equity funds in a most expeditious and efficient manner, with the least cost to Bloomberry. The transaction was also intended to strengthen and broaden the capital base of Bloomberry, as well as to promote a wider dispersion of the shares to a broad spectrum of institutional investors.”
The company confirmed that, upon completion of the transaction, public ownership had moved above 37% while Bloomberry Chairman and CEO Enrique Razon Jr’s holdings had fallen by more than 3% to 62.27% of outstanding shares, comprising those held directly and indirectly.
According to Bloomberry, the proceeds of the subscription will be used for “debt service” and are expected to be fully dispersed by March 2024.