LRWC raising P1.18B for expansion

Leisure and Resorts World Corp. (LRWC) plans to raise at least P1.18 billion through a private placement of shares.

LRWC will issue 691.2 million shares at P1.70 each. The shares will come from the increase in the company’s authorized capital stock from P5 billion to P7 billion.

Three investment holding companies will be subscribing to the shares, namely Clearspring Holdings Corp. (330.6 million shares), Belvedere Skies Asset Holding (330.6 million shares), and Tucket Holdings (30 million shares).

Owners of Clearspring, Belvedere Skies and Tucket are Edgar Dennis A. Paderna, Francis Neil Mercado, and Arsenio C. Cabrera, Jr., respectively.

LRWC expects the application process to take three to six months from filing.

Proceeds from the private placement will be used for projects such as upgrades and expansion of operation sites, sportsbook and technology development.

The transaction will increase LRWC’s public float from 30.18 percent to 33.41 percent, while reducing foreign ownership in the company to 29.35 percent from 34.81 percent.