The Philippine Stock Exchange, Inc. Board and Executives together with government regulators and heads of investment houses feted the listing of Real Estate Investment Trust (REIT) company RL Commercial REIT, Inc. (stock symbol: RCR) on Tuesday, September 14.
RCR raised Php23.53 billion from the sale of secondary and over allotment shares, the biggest capital raised among the PSE-listed REITs. It also has the largest real estate asset size at 425,315sqm of gross leasable area and the biggest valuation of its initial property portfolio at Php73.88 billion.
In his message, PSE President and CEO Ramon S. Monzon lauded RCR for reaping strong support among local and foreign institutional investors for its initial public offering (IPO). “Local small investors, or LSIs, from 52 provinces and 14 countries likewise joined the RCR investment bandwagon. In fact, for the first time ever in PSE’s history, a local small investor from Iraq invested in an IPO via PSE’s Electronic Allocation System or PSE EASy.”
He noted, “This clearly indicates the trust and confidence of investors in the property development track record, professional management, and vision of RCR’s sponsor, Robinson’s Land, and in the ability of RCR to sustain its high dividend yield, estimated at 5.57 percent in 2021 and 5.96 percent in 2022.”
Department of Finance Secretary Carlos G. Dominguez III said in his recorded message, “This public offering is another vote of confidence that the Philippine economy is on track to a solid recovery from the difficulties brought about by the pandemic. The strong performance of our REIT listings underscores the thirst of the market for secure and profitable investments. It affirms the REIT as a powerful instrument for capitalizing property development in the country. Most of all, the investments attracted by REIT confirm investor optimism in our economy.”
Securities and Exchange Commission (SEC) Chairman Emilio B. Aquino emphasized the contribution of REITs in expanding and opening new horizons for the capital market. “Today’s listing of RLC REIT increases the total market capitalization of REIT companies listed in the PSE to P171.3 billion from Php 107.1 billion. It represents 0.91 percent of the total stock market capitalization of the PSE, a big jump of 34 basis points from 0.57 percent level accounted for by the three previous REIT listings. We are hopeful that with these promising statistics, REITs will continue to thrive and substantially promote the development of our capital markets.”
The listing ceremony was attended virtually by PSE Board of Directors led by PSE Chairman Jose T. Pardo and RCR Board of Directors headed by its Chairman Frederick D. Go. Also in attendance were Board and Executives from Robinsons Land Corporation (RLC), the sponsor of RCR, led by its Chairman Emeritus James L. Go and Chairman Lance Y. Gokongwei.
Investors may trade REITs through Eligible Brokers. The list of REIT Eligible Brokers is available on the PSE website, www.pse.com.ph.