MANILA, Philippines - The founders of Jollibee and Mang Inasal are taking their property partnership public.
DoubleDragon Properties, which is owned by Jollibee chairman Tony Tan Caktiong and Mang Inasal founder Edgar "Injap" Sia II, has filed its application for a P1.16 billion initial public offering (IPO) with the Securities and Exchange Commission.
That would be one-fourth of DoubleDragon, giving the company a total value of P4.5 billion.
"We are all excited because this is my first listing, and the second listing of the Tan family. The last listing of the Tan family was 21 years ago, when they listed Jollibee at P9 per share," said Sia, who is chairman of DoubleDragon.
Tan Caktiong and Sia became partners after Jollibee bought Mang Inasal in 2010.
For its IPO, DoubleDragon is offering for subscription up to 579.73 million primary offer shares, up to P2 per share.
DoubleDragon said it will use the money for its residential, commercial and mixed-use real estate developments.
The bulk of the proceeds will go to its flagship project, CityMall, which is envisioned to be a chain of community malls around the country.
A CityMall will have a floor area of approximately 5,000-10,000 square meters, and located mostly in Visayas and Mindanao. It will have a food court (which will feature Jollibee, Mang Inasal, Chowking, Highlandas Coffee, Red Ribbon and Greenwich), retail shops and a supermarket.
Double Dragon said it aims to roll out 100 City Mall community malls by 2020.
The first City Mall is expected to be located in Roxas City, where Double Dragon has recently acquired a 12,654 square meter commercial land in Arnaldo Boulevard.
Aside from the community mall chain, Double Dragon is also planning to complete three office towers in the next six years in business districts in Metro Manila. The office buildings will be leased out to corporate and BPO tenants.
In 2013, Double Dragon posted a P170.48 million consolidated net income before tax, 29% higher than the P132.03 million in 2012. The company's net income after tax in 2013 stood at P126.63 million, 37% higher than the P92.48 million in 2012.