MCE (Philippines) Investments Ltd., the majority shareholder of Melco Crown (Philippines) Resorts Corp., is subscribing to an additional 693.5 million shares in the City of Dreams Manila operator at P3.90 per share, or a total of P2.704 billion.
Melco Crown disclosed to the Philippine Stock Exchange Friday it signed a a subscription agreement to sell 693.5 million common shares to MCE (Philippines).
The subscription price was based on the weighted average of Melco’s closing prices over a period of 30 trading days prior to the subscription.
It said the company would apply for the listing of the subscription shares after obtaining the shareholder’s approval.
Melco Crown said MCE (Philippines), as major shareholder, “shows its continuous support to the company and its subsidiaries through the subscription.”
MCE (Philippines) owns 3,306,677,096 shares in the company prior to the transaction representing 64.78 percent. Its shareholding will increase to 69.11 percent with its 3,900,177,096 shares after the transaction. Melco rose 5.8 percent Friday to P3.65.