Philippines-listed Suntrust Home Developers Inc (Suntrust), a company that anchors its current business on property management of residential and office buildings. is expanding its capital base as it shifts its focus into tourism development.
The Board of Directors of Suntrust announced that it is increasing its authorised capital stock from its existing level of 3 billion pesos (US$59 million) to 23 billion pesos (US$453 million).
About 5 billion common shares will be subscribed by Fortune Noble Limited and Megaworld. Post the capital hike, Fortune Noble will continue to own and maintain its majority controlling interest in Suntrust while Megaworld will have at least 34 per cent stake.
Fortune Noble is a wholly owned subsidiary of Suncity Group Holdings Ltd, a company listed on the Hong Kong Stock Exchange.
The Suncity Group is known to have extensive experience in teh leisure and entertainment business and is actively seeking investment opportunities in integrated resort projects worldwide, including Cambodia, the Philippines, Myanmar, South Korea, Japan, Russia, and Vietnam.
Other than investment in integrated resorts, the Suncity Group is also engaged in integrated resort consultancy services, as well as travel related products and services.
Suntrust believes that the tourism sector, which has seen significant growth in recent years, will continue to show sustainable growth and attract more investments. It is also optimistic that with the support of its shareholders, it will be able to drive more growth for the company and contribute to the tourism industry.
For the period January to August 2019, foreign tourist arrivals clocked in a 14-per cent increase to 5.55 million visitors, bringing the number closer to the 8.2-million target of the tourism department for this year.
Suntrust also announced that its board of directors had approved a co-development agreement with Westside City Resorts World Inc, which is developing the 31-hectare integrated resort and casino in the Philippine Amusement and Gaming Corp’s (PAGCOR) Entertainment City in Parañaque. – BusinessNewsAsia.com