Megawide to raise P6-B for expansion projects in real estate

Megawide Construction Corp., led by Ed Saavedra, is set to raise P6 billion through a preferred share offering from March 26 to April 4, 2025, as part of its strategy to refinance existing debt and fund expansion projects, particularly in real estate development.

The offering is led by a syndicate comprising PNB Capital and Investment Corp., RCBC Capital Corp., and Security Bank Capital Investment Corporation, with the shares slated to be listed on April 14.

Proceeds from the offering will be used to refinance Megawide’s Series 4 preferred shares, support real estate growth, and fund general corporate purposes.

The Series 6 Preferred Shares will offer dividend rates of 7.6283%, 7.9606%, and 8.2993% for Series 6A, 6B, and 6C, respectively.

Initial responses from the book-building process have been positive, signaling strong investor confidence in Megawide’s long-term prospects.

Jez dela Cruz, Megawide’s Group CFO, said that the company plans to use the funds to strengthen its balance sheet and pursue real estate growth.

Megawide’s real estate arm, PH1 World Developers, is targeting next-wave cities like Cavite, where demand is growing due to improvements in public transport infrastructure, including the ongoing Cavite Bus Rapid Transit (BRT) Project.

As of December 2024, Megawide’s construction order book stood at P43.5 billion, reinforcing its position as a major player in the Philippine construction and infrastructure sectors.