Ayala Land hikes stake in Malaysian property developer

Ayala Land Inc. (ALI) increased its shareholdings in Malaysian development and construction company MCT Bhd. to 32.95 percent from 9.16 percent. 

 

The company, through its wholly-owned subsidiary Regent Wise Investments Ltd., exercised its option to buy additional shares in MCT for $92 million, according to a disclosure with the Philippine Stock Exchange on Friday.

 

The consideration is equivalent to about P4.22 billion, based on the 45.85:$1 exchange rate at the close of trading in the spot market Thursday. 

 

"This transaction affirms ALI’s confidence in MCT’s solid track record in project execution and business strategy," said Jaime Ysmael, chief finance and compliance officer of the Philippines-based company.  

 

In April, the property giant announced the acquisition of a 9.16-percent stake in MCT through a $43 million private placement. The acquisition came with a seat on the Malaysian company's board. 

 

MCT listed on the Bursa Malaysia Securities Berhad on April 6, following a reverse takeover of GW Plastics Holding Bhd. by MCT Consortium Bhd.

 

The consortium started as Modular Construction Technology Sdn. in 1999, specializing in construction, civil engineering as well as mechanical and electrical works. It ventured into property development in 2004. 

 

"MCT is poised to deliver its pipeline of integrated, mixed-use projects in Subang Jaya, Cyberjaya, and Dengkil in Klang Valley, Malaysia which aims to capture the demand from the middle income and affordable market segments," Ysmael said. – Keith Richard Mariano/VS, GMA News