RL Commercial REIT, Inc. Expands its Portfolio Through the Infusion of P33.9 Worth of Assets from Robinsons Land Corporation

The Board of Directors of RL Commercial REIT, Inc. (RCR) approved the property-for-share swap transaction with its sponsor, Robinsons Land Corporation (RLC), for the infusion of thirteen (13) assets, specifically malls and office buildings in exchange for 4,987,641,178 RCR common shares subject to the approval of the Securities and Exchange Commission (SEC).

The properties to be infused include eleven (11) malls and two (2) office buildings which will be exchanged for 4,987,641,178 common shares of RCR for a total transaction value of P33,915,960,000.00. Appraisal reports on the properties were prepared by Asian Appraisal Company, Inc. (AACI). Further, the valuation is supported by a third-party fairness opinion issued by FTI Consulting Philippines, Inc. (FTI).

The properties have a total gross leasable area of 347,328.81 square meters. The properties have high occupancy rates which are consistent with the set investment criteria of RCR. The properties also include a diversified tenant base which will contribute to its stable occupancy rates.

The transaction has been approved by the Board of Directors of RL Fund Management Inc., the Fund Manager of RCR, and the Related Party Transactions Committee of RCR. The Transaction is subject to the approval of the stockholders of RCR in a special meeting duly called for the purpose to be held on July 15, 2024.

Furthermore, the transaction will be subject to the approval of pertinent regulatory bodies, such as The Philippine Stock Exchange, Inc. (PSE) and the SEC. With the additional shares to be issued to its sponsor, RLC, the public ownership of RCR will be 34.10% of the total shares of RCR once the transaction has closed.