Philippine Developer 8990 Rises on Hunt for Mall PartnerCecilia Yap
Philippine developer 8990 Holdings Inc. rose to the highest closing level in more than a year in Manila trading after company President JJ Atencio said it was seeking a partner to run shopping malls in its housing projects.
Atencio, who disclosed the plan in a phone interview today, declined to identify parties in the talks. Shopping would be a main attraction for the 13-hectare property in Ortigas Avenue Extension, which it bought for 2.2 billion pesos ($50 million) and will develop into a 27,000-unit residence, the builder of low-cost housing said May 26.
The Philippines faces an estimated backlog of 4 million low-cost homes after ending 2013 with its fastest growth in three years. The government forecasts gross domestic product will rise 6.5 percent to 7.5 percent this year, after expanding 7.2 percent in 2013.
Shares of 8990, based in Makati city in the Metro Manila region, rose 7.8 percent to close at 8.56 pesos, the highest price since May 15, 2013. The benchmark Philippine Stock Exchange Index fell 0.5 percent, while the bourse’s property index dropped 2.2 percent.