THE developer and operator of the Sy-controlled Podium Mall is hiking its authorized capital stock in a fund-raising effort to build a new high-rise project within the vicinity of the shopping development.

There will be a vertical development project that will be undertaken in the area where the Podium is,” SM Investments Corp. (SMIC) vice president for investor relations Cora Guidote said in an e-mail to the BusinessMirror. SMIC is the holding company for the Sy family’s major business assets.

Earlier this week the Securities and Exchange Commission approved the request by SM Keppel Land Inc. to increase its capital stock by 17 percent to P511.6-million divided into the same number of shares at a par value of P1 apiece. The total amount will be divided into 438.8 million common shares, while the remainder into 72.8 million redeemable preferred shares, which carry no voting rights and will pay a fixed dividend of 3 percent per annum.

SM Keppel Land further noted the increase of P72.8 million has been fully subscribed and paid up by shareholders.  Incorporators include Lim Siah Sun, Hoe Eng Hock, Adora F. Valenton as well as retail tycoon Henry Sy Sr., Teresita Sy-Coson and Henry Sy Jr.

At the end of 2008, the firm reported lower net cash from operating activities at P97.97 million, or a 13-percent declines from the previous year. Total assets grew by 4.6 percent to P1.76 billion.

SM Keppel was incorporated in January 1994 to develop and maintain the operations of its primary asset, the Podium Mall on ADB Avenue, Ortigas Center. Half of the venture is owned by SM banking unit Banco de Oro Unibank, 40 percent by Keppel Philippines Properties Inc. and the remainder by Opon-KE Properties Inc.

Keppel Philippines Properties Inc. is the local unit of Keppel Land Ltd.,  which is listed in the Stock Exchange of Singapore.