Manila Pavilion operator acquires realty firm

Gatchalian-owned Acesite (Philippines) Hotel Corp., the owner of Manila Pavilion Hotel, will use internal funds in acquiring the company that owns the land that the hotel is located on. In a statement to the Philippine Stock Exchange on Wednesday, Acesite said it would acquire the entire CIMA Realty Philippines Inc. for $2.5 million dollars based on acquisition price of $0.41 per share for 60,000 shares. "The funds used or to be used will come from internally generated funds of the corporation," the company said. Acesite will deliver the complete acquisition amount to CIMA in January next year. Acesite and CIMA had been involved in a legal dispute regarding the land where Manila Pavilion stands on. "With the acquisition by (Acesite) of the entire capital stock of CIMA, the corporation will have absolute control of the land. This will enable the corporation to proceed with the development and improvement of the hotel property, without fear of controversy," the company added. -- CMA/OMG, GMA News