Ayala Land sells 50-pct ownership stake in Alabang Town Center

To free up capital for the real estate development firm.

In a disclosure to the Philippine Stock Exchange on Tuesday, December 16, Ayala Land, Inc. (ALI) revealed that it has executed a share purchase agreement (SPA) for the sale of its 50% ownership of Alabang Commercial Center Corporation.

That entity owns and operates the 48,000-square-meter Alabang Town Center in Muntinlupa City.

The said SPA was signed with the company’s existing joint-venture partner and is still subject to customary closing conditions.

The transaction is worth PHP13.5 billion, with Ayala Land staring that the unsolicited offer from its joint venture partner “provided a premium,” which allowed ALI to “recognize gains from the sale and monetize its stake in Alabang Town Center.”

The company futherered, “Proceeds from the sale will fuel further growth in our Leasing portfolio and provide our stakeholders with return of capital.”

In a separate release, Ayala Land President and CEO Meean Dy explained the group’s strategy in terms of its portfolio.

“Our strategy is focused on a dynamic cycle of value creation. We build, we stabilize, and we unlock value at the right time to fuel our next wave of innovation,” she said.

She also called the transaction as a “prime example of that strategy in action,” and added, “We are monetizing a legacy asset at peak valuation to accelerate the rollout of our expansive pipeline of commercial and retail spaces, which will define the Ayala brand of development for the next decade.”

The Alabang Town Center is described as the “premier suburban lifestyle center” south of Metro Manila and is situated right next to gated residential communities and bustling business developments in Alabang.

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