Century Properties Group Inc. (CPG) on Monday said it has secured the Philippine Stock Exchange’s (PSE) approval to list up to P3 billion worth of preferred shares, the proceeds of which will fund its expansion in the commercial leasing segment.

The listed property developer said the proceeds from the issuance will specifically be utilized for a new office development as well as for capital expenditures for CPG’s leasing projects.

CPG said the expansion is part of its diversification program that started four years ago, and under which it is entering allied real estate segments from its prior focus in high-rise condominiums, including affordable horizontal housing outside of Metro Manila, commercial leasing to power up recurring revenue streams, as well as a new line of in-city developments and medium-rise buildings.

The local bourse approved CPG’s plan to list up to 30 million preferred shares to cover its follow-on public offering, at an offer price of P100 per share. The company will be conducting a primary offer of 20 million shares for the public.

“In the event of an oversubscription, the sole issue manager, lead underwriter and sole bookrunner, in consultation with the company, reserves the right but not the obligation to increase the offer size by up to an additional 10,000,000 shares,” CPG said in a disclosure to the stock exchange.

Dividend rate is set at 6.7177 percent per annum and will be paid quarterly, or every 10 January, 10 April, 10 July and 10 October.

The offer period will run from 16 December to 3 January next year while CPG’s target listing date is on 10 January. The preferred shares will be issued out of the unsubscribed capital stock of the company, CPG said and will be listed on the main board of the PSE under the symbol “CPGP.”

CPG tapped China Bank Capital Corp. as sole issue manager, lead underwriter and sole bookrunner for the transaction.

Earlier, CPG also raised P3 billion in bonds to be used for its affordable housing and townhome projects.

The company booked 81 percent higher net income in the first nine months of the year, to P1.2 billion from P661 million in the same period in 2018, as revenues jump 35.6 percent to P9.8 billion.