Fil-Estate, Megaworld to develop Batangas resort

Property firms Fil-Estate Land Inc. and Megaworld Corp. said Wednesday that they will be jointly developing a residential resort community in Batangas. Both companies will infuse an initial capital base of P2 billion into the project. The companies, in disclosures to the Philippine Stock Exchange, said the project will sit on 731 hectares of land in Laurel, Batangas, and will be called “Twin Lakes." In a telephone interview, Kingson Sian, Megaworld senior vice president and executive director said both the property companies will set up a new firm to handle the Batangas project. "We are still in the process of sorting things out and setting up the company," he said. Sian said this is the first time that Megaworld has partnered with another listed company in developing a project. According to the two companies, P3 billion in preferred shares in the project entity will be issued to help finance the project. To add to this, Fil-Estate Land will also issue stock warrants entitling Megaworld to subscribe up to P1 billion in Fil-Estate, at a price of P1.25 per share within 5 years from issue date. Fil-Estate Properties Inc. and Fil-Estate Management Inc. are also included in the development project. - GMANews.TV