DoubleDragon Corp., a property developer diversifying into hospitality, has launched a tap offering on $160 million senior guaranteed notes maturing in 2025.
The company’s wholly owned offshore unit DDPC Worldwide Pte. Ltd. has mandated UBS as sole global coordinator, lead manager and bookrunner to arrange a series of fixed income investor calls for the IOUs.
A so-called Regulation S tap offering on DoubleDragon’s $160 million bond, which carries a yield of 7.25 percent, may follow.
A tap issue allows borrowers to sell bonds or other short-term debt instruments from past issues. Such bonds are issued at their original face value, maturity, and coupon but are sold at current market price.
“Any bonds issued pursuant to the tap offering will be consolidated with and increase the outstanding principal amount of DDPC Worldwide’s existing listed maiden US dollar bonds listed on the SGX-ST,” the company said.
“Use of proceeds (are) intended for the development and construction of Hotel101 overseas projects and for general corporate purposes,” it said.
DoubleDragon is diversifying its funding sources preparatory to growing its business operations inside and outside the Philippines over the long-term. Philippine companies have successfully offered and listed fixed term senior bonds and perpetual securities on the Singapore Stock Exchange in recent years.
DoubleDragon recognizes the value that diverse funding sources and a broad investor base provide for its growth and expansion, the company said.
The upcoming Hotel 101 – Niseko, in Hokkaido Prefecture, Japan is seen patronized by domestic travelers in Japan, tourists from other countries as well as Filipino travelers who visit Hokkaido for leisure. The site is just a few hours as the crow flies from Manila to Sapporo’s New Chitose Airport.
Niseko is famous worldwide for its powder snow and Kutchan Town where the property is located. It is one of foremost areas with heavy snowfall reaching 13 meters on average and some of the driest and lightest snow in the world.
Because of its northern location, Niseko is renowned for consistently delivering good falls of light powder snow and a long ski season that stretches from late November until early May. Hokkaido is the northmost island of Japan. During summer, Hokkaido stays cool with average temperatures of about 20 degrees Celsius and famous for its stunning nature scenes, panoramic flower fields and hot springs.
