Andrew Tan-led top township developer Megaworld Corp. sold ₱1.27 billion worth of MREIT Inc., its real estate investment trust (REIT), to increase the latter’s public float as it gears up for the fifth wave of asset infusion.

In a disclosure to the Philippine Stock Exchange (PSE) on Thursday, April 30, Megaworld said it sold 91.16 million MREIT shares at ₱13.90 per share, equivalent to ₱1.27 billion before deductions for fees and taxes, under a block sale transaction. BDO Securities Corp. acted as broker for the transaction.

The proceeds from the block sale shall be settled on May 4, 2026, and Megaworld will submit the required reinvestment plan detailing the use of proceeds from the transaction.

The latest divestment by Megaworld is equivalent to about 1.9 percent of MREIT’s outstanding capital of 4.72 billion shares, increasing its public float to 38.83 percent from 36.93 percent.

MREIT’s public float dropped from 46.82 percent after completing the fourth wave of asset infusion worth ₱16 billion. Last March, Megaworld raised ₱945 million from the sale of 70 million MREIT shares, equivalent to 1.88 percent of the company, to raise its public float to 46.8 percent.

Megaworld regularly sells MREIT shares to reduce its stake so it can infuse more property into MREIT via asset-for-share swaps, since these transactions increase its interest in MREIT, which the law requires to maintain a minimum 33-percent free float.

The next tranche of asset infusion is expected to include select mall assets, further diversifying MREIT’s income base. These planned infusions form part of MREIT’s growth strategy to expand its portfolio with premium office assets and lifestyle malls, supporting its long-term target of one million square meters (sqm) of gross leasable area (GLA) by 2027.

Meanwhile, MREIT has declared a record cash dividend of ₱0.263 per share for the first quarter of 2026, representing a five-percent increase from the previous quarterly payout.

The uplift marks a significant milestone for the company, reflecting the immediate accretion delivered by its Wave 4 acquisition and signaling the start of a new phase of growth defined by meaningfully higher dividends per share (DPS)-accretive infusions.

The dividend is payable on May 29, 2026, to stockholders on record as of May 15, 2026, and translates to an annualized dividend yield of 7.6 percent based on the last closing price of ₱13.90 per share as of April 29, 2026.

The increase reflects the full quarterly contribution of the nine grade A office buildings infused under Wave 4, completed in March. The transaction was structured to minimize dilution while maximizing per-share earnings uplift, resulting in a step-up in MREIT’s dividend-paying capacity from the very first quarter of integration.

“This is a defining moment for MREIT. For the first time, our shareholders are seeing the full power of an infusion that is not just additive in size, but meaningfully accretive on a per-share basis,” said MREIT President and Chief Executive Officer (CEO) Jose Arnulfo C. Batac.

He added, “This five-percent uplift in dividends per share is the direct outcome of how Wave 4 was structured, and it sets the standard for every acquisition we will pursue from here on.”

Going forward, MREIT intends to anchor its growth strategy on infusions that deliver tangible DPS accretion to shareholders.

Each future wave will be evaluated and structured with the same discipline applied to Wave 4, prioritizing valuation, transaction structure, and asset quality to ensure that portfolio expansion translates directly into stronger per-share returns.

“Scale alone is not the goal. What matters is whether each transaction makes our shareholders better off on a per-share basis. That is the bar we have set, and that is the bar we will keep raising as we move into Wave 5 and beyond,” Batac said.