Filinvest Development Corp. on Wednesday listed P10 billion fixed rate bonds on the Philippine Dealing and Exchange Corp.
The bonds consist of a base offer of P7 billion with an option for oversubscription of up to P3 billion. The bonds pay an interest of 6.3206 percent and matures in 2.5 years.
The company said the bonds have attracted significant interest from investors, with subscriptions exceeding the base offer by more than four-fold.
“We saw the success of the unwavering efforts of the joint lead underwriters and bookrunners with the offer achieving total bids of P31.5 billion, or 4.5 times oversubscription over the base issuance of P7 billion. FDC is committed to living up to the trust the investing community has placed in us,” Rhoda A. Huang, president and CEO, said.
Net proceeds from the sale will be used to partially finance maturing bond redemptions and capital expenditures to accelerate growth. This includes financing equity investments in renewable energy and water, hospitality and digitalization projects.
The P10 billion bond sale is the first tranche of the company’s P32-billion bond program.
The Securities and Exchange Commission, which processed the sale in only 28 days, congratulated the Filinvest Group for its return to the debt capital market after ten years.
FDC has strategic holdings in key industries such as real estate development and leasing through Filinvest Land Inc. and Filinvest Alabang Inc., banking and financial services through EastWest Bank, hotel and resort development and management through Filinvest Hospitality Corp., power generation through FDC Utilities Inc., and agriculture through Pacific Sugar Holdings Corp.
