The Philippine Securities and Exchange Commission (SEC) has considered favorably the initial public offering (IPO) of a real estate investment trust (REIT) sponsored by Filinvest Land, Inc.(FLI) for as much as P14.92 billion, cashing in on the boom in demand for space from business processing outsourcing (BPO) companies.

In its meeting on July 6, the Commission En Banc resolved to render effective the registration statement of Cyberzone Properties Inc. For a total of 4,892,777,994 common shares for listing on the Main Board of the Philippine Stock Exchange (PSE), subject to the company’s compliance with certain remaining requirements.

Cyberzone Properties, which will change its name to Filinvest REIT Corp., will offer up to 1,634,187,850 common shares at a price of up to P8.30 per share, with an over-allotment option of up to 163,418,785 common shares. FLI currently owns the offer shares.

Assuming the over-allotment option is fully subscribed, Cyberzone Properties will net P14.35 billion from the offer. FLI will receive the entire proceeds of the offer, which shall be reinvested in the Philippines, pursuant to the Revised Implementing Rules and Regulations of Republic Act No. 9856, or the Real Estate Investment Trust (REIT) Act of 2009.

New investors will corner 36.74% of CyberzoneProperties’ issued and outstanding common shares while existing shareholders will retain the remaining 63.26%, should the company exercise the oversubscription option.

CyberzoneProperties’ portfolio currently includes 17 office buildings with an aggregate gross leasable area (GLA) of 299,158 square meters for office spaces and 2,204 square meters for retail. The office spaces primarily cater to the information technology and business process outsourcing industry in Alabang and Cebu.