Leasing and management company Kepwealth Properties Philippines Inc. (KPPI) has announced a further delay in its planned property acquisition, which was initially intended to be funded through the proceeds of its 2019 initial public offering (IPO).
In a disclosure to the Philippine Stock Exchange, Kepwealth president Augusti Pablo Corpus Jr. said that the company is now targeting the second half of this year or the first half of 2024 to carry out the acquisition.
This timeline adjustment comes after the company’s previous projection to complete the acquisition by the end of the second quarter of 2020 went unrealized.
Kepwealth reiterated its commitment to a conservative approach in capital investments, a strategy it has maintained since the onset of the pandemic.
The company believes that this prudent stance will ultimately serve the best interests of its shareholders.
Additionally, Kepwealth emphasized its ongoing evaluation of the prevailing business environment, ensuring that its decisions align with the prevailing market conditions.
Meanwhile, in order to maximize returns, the company has temporarily invested all of its unused IPO proceeds in low-risk financial instruments. By pursuing such investment avenues, Kepwealth aims to optimize the utilization of its funds while mitigating potential risks.