GT Capital Holdings Inc., the investment company of tycoon George Ty, is allocating P4.4 billion to fund strategic investments.
GT Capital said in a filing with the Securities and Exchange Commission it had identified two potential acquisition targets which were currently in the early stage of evaluation.
The acquisitions may be within the company’s core businesses such as infrastructure and financial services, or outside existing portfolio. The conglomerate said no definitive agreements were signed to date.
“As part of its strategies, GT Capital intends to further strengthen its market position in the existing businesses through targeted investments that leverage its existing expertise, market insights, partnership, brand value and customer recognition,” GT Capital said.
“These include investments in the sectors where GT Capital companies are already present such as infrastructure and financial services. Beyond its existing business interests, GT Capital is also actively considering and evaluating new business initiatives in areas that complement GT Capital’s existing portfolio and where GT Capital will be able to contribute strategic direction, expertise and resources,” it said.
The conglomerate currently has business interests in abanking, automotive assembly, importation, dealership, and financing, property development, life and non-life insurance and infrastructure.
Funding for the strategic acquisitions will primarily come from the planned P12-billion preferred shares offering in October.
GT Capital will issue 12 million preferred shares at an offer price of P1,000 per share. The perpetual preferred shares are cumulative, non-voting, non-participating, non-convertible and peso-denominated.
BDO Capital & Investments Corp., BPI Capital Corp. and First Metro Investments Corp. are the underwriters for the planned offering.
Offer period for the preferred shares will be from Oct. 17 to 21, while listing date was set on Oct. 27.