GT Capital to Acquire 22.68% of ProFriends for Php7.24 Billion
(06 August 2015. Makati City, Philippines.)
GT Capital Holdings, Inc. (GT Capital / stock symbol
GTCAP) disclosed that it had signed an agreement earlier today to acquire 22.68% of Property
Company of Friends, Inc. (PCFI) for Php7.24 billion, subject to closing conditions, and with an
option to increase its direct shareholding to 51% within the next three years.
Established in 1999, PCFI is today one of the country’s leading property developers, focusing on the
low-cost and economic housing segments, and retail and office space leasing. PCFI has built and
sold over 36,000 affordable homes in the provinces of Cavite and Iloilo. Its flagship and largest
project is Lancaster New City, which spans the areas of Kawit, Imus, and General Trias in Cavite
Province. It is highly accessible from Metro Manila via the Manila-Cavite Expressway (CAVITEX). In
addition, the newly awarded Cavite-Laguna Expressway (CALAX) will have an exit near Lancaster
New City. In December 2014, PCFI reported an audited net income after tax of Php3.61 billion.
“The low-cost housing segment is the real sweet spot in the country’s property sector, with a supply
shortage of over three million homes, which continues to grow annually. Our partnership with GT
Capital will strengthen our ability to be a leading player in serving this urgent market need.
Moreover, the potential synergies of working with other component companies in the GT Capital
group will enable us to offer our live, work, learn, play, and worship estates to many more middle
income Filipino families,” said Guillermo C. Choa, PCFI Chairman.
“We view this acquisition as a mutually beneficial partnership for both parties. PCFI has the product
expertise and the strategic land bank, while GT Capital has the financial resources and access to
capital. Our partnership adds a new dimension to GT Capital’s property development portfolio and
will enable our group to be one of the market leaders in the low-cost housing sector,” GT Capital
Chairman Francisco C. Sebastian explained.
“This investment complements Federal Land’s property development projects and expands our
group’s presence in the property market. The GT Capital group will now offer Federal Land’s uppermid
to high-end vertical projects and PCFI’s low-cost horizontal and mixed-use townships in key
areas near Metro Manila. Our strategic tie-up will thus be a fusion of all property sub-segments,”
President of Federal Land, Inc. Alfred V. Ty said.
Another major PCFI project is the Bellefort Estates in the Cities of Bacoor and Dasmarinas in Cavite
Province. Bellefort Estates is likewise a choice location for a township development with its proximity to the newly opened Muntinlupa – Cavite Expressway (MCX) that connects to the SLEX.
Aside from Lancaster New City and Bellefort Estates, ongoing PCFI projects include the Parc
Regency Residences in Iloilo Province and the Carmona Estates in Carmona, Cavite Province,
Capital is a listed major Philippine conglomerate with interests in market-leading businesses across banking; automotive assembly,
importation, dealership, and financing; power generation; property development; and life- and non-life insurance. Its component
companies comprise Metropolitan Bank & Trust Company (Metrobank), Toyota Motor Philippines Corporation (TMP), Toyota
Manila Bay Corporation (TMBC), Toyota Cubao, Inc. (TCI), Toyota Financial Services Philippines Corporation (TFS), Global
Business Power Corporation (GBPC), Federal Land, Inc. (Federal Land), Philippine AXA Life Insurance Corporation (AXA
Philippines), and Charter Ping An Insurance Corporation (Charter Ping An).