Listed Central Azucarera de Tarlac Inc. or CAT has green-lighted the 200-hectare property sale of its wholly owned subsidiary Luisita Land Corp. to Lima Land Inc. of the Aboitiz Group.

CAT disclosed on Wednesday through a stock exchange report that its Board of Directors approved the proposed transaction last 10 October.

"The sale is still subject to certain closing conditions which have yet to be fulfilled/satisfied. Moreover, the parties are still discussing and finalizing some proposed transaction terms," the CAT report read.

"A timely and appropriate disclosure will be made if the closing conditions are satisfactorily fulfilled/satisfied, and definitive agreements are concluded," it added.

Consent needed
Luisita Land needed to secure the consent and approval of the CAT first before proceeding with the deal.

CAT owns Luisita Land's controlling interest and more than two-thirds of its shares. It also serves as the largest creditor of Luisita Land.

Luisita Land, on the other hand, was incorporated and registered with the Securities and Exchange Commission in 1977, primarily for developing, leasing, and selling real properties.