MREIT, INC. (MREIT), the true estate investment trust of Megaworld Corp., has secured approval from the Securities and Exchange Commission (SEC) for its P16.2-billion “Wave 4” asset infusion.
The approval allows the corporate to proceed with the acquisition of nine Grade A office buildings, MREIT said in an announcement on Thursday.
“The approval comes ahead of the corporate’s expected timeline, allowing MREIT to maneuver forward with the subsequent phase of its portfolio expansion strategy, with the assets set to contribute to income retroactively from Jan. 1 of the yr, enabling investors to right away profit from the acquisition,” it said.
The transaction involves the infusion of office buildings in McKinley Hill, Taguig, with a combined gross leasable area (GLA) of about 165,500 square meters (sq.m.).
This can increase MREIT’s total GLA by about 34% to around 647,000 sq.m.
The deal was structured as a property-for-share swap valued at P16.03 billion, with the remaining balance of P187.5 million to be settled in money.
The share swap was executed at a 15% premium to MREIT’s 30-day volume-weighted average price (VWAP), the corporate said.
“This structure minimizes dilution to existing shareholders and provides additional room for MREIT to grow its dividends per share.”
“This approval marks one other essential milestone in MREIT’s growth journey,” said Kevin L. Tan, chairman of MREIT.
“Wave 4 represents a key step in scaling the platform while maintaining our give attention to disciplined and accretive expansion,” he added.
As of end-2025, the assets had an occupancy rate of 97%, with greater than 80% leased to global capability center (GCC) tenants, in response to the corporate.
Following the completion of Wave 4, MREIT said it’s preparing for its next round of asset infusions, “Wave 5,” which is anticipated to incorporate retail properties.
“Wave 5 is anticipated to start the corporate’s diversification into retail properties, starting with several mall assets targeted for the second half of the yr,” it said.
The corporate said the subsequent phase could increase its portfolio to about 750,000 sq.m., because it targets a million sq.m. of GLA by 2027.
MREIT said its expansion pipeline is supported by Megaworld’s portfolio of income-generating properties and the broader assets of Alliance Global Group.
MREIT shares fell 1.03% to P13.50 per share on Thursday. — Alexandria Grace C. Magno