Stock News 2011: FLI offering P3-billion bonds

Image via Wikipedia
Filinvest Land Inc. (FLI) reported that its Executive Committee has approved its plan to issue and float via public offering of a five years and three months unsecured fixed-rate peso denominated debt securities (Retail Bonds) worth up to P3 billion.

In a disclosure to the Philippine Stock Exchange, FLI said proceeds from the retail bonds issuance will be used by the corporation to additionally finance capital requirements for 2011.

Issue date is targeted within June 2011, subject to SEC approval. The planned P3 billion retail bonds has been assigned the highest rating of PRS Aaa by Philratings.

Last March, PhilRatings also maintained the highest rating for FLI’s P5 billion bonds, composed of the P500 million bonds (due in 2012) and the P4.5 billion bonds (due in 2014).

PhilRatings said the ratings assigned reflect the strong growth of FLI’s real estate revenues and higher recurring income from the company’s leasing operations; conservative debt position; and financial flexibility.

The rating also reflects the company’s diversified portfolio; established brand name; and favorable industry conditions, the ratings agency said.

In the next five years, PhilRatings said FLI’s forecast hikes in real estate revenues will come from the strong performance of the affordable, middle-income and high-end segments.

http://mb.com.ph/node/322006/fli-offering-p3billion-bond

Related articles

• Philratings still upbeat on Petron debt notes (business.inquirer.net)

Stock News 2010: First local bond swap generates brisk demand, may top P144.5-billion mark

Image via Wikipedia
MANILA, Philippines — The first local bond exchange of the Aquino administration may beat January last year's level of P144.5 billion, the Bureau of Treasury announced on Saturday.

The government's domestic bond swap program has attracted holders of more than P140 billion of 2011 and 2034 treasury bonds that are eligible to be exchanged for new 2020 and 2035 benchmark bonds, National Treasury Roberto Tan said.

"Great appetite," said Tan describing the domestic bond swap that ended Friday. The amount of bonds offered for exchange is "over P100 billion for 25 years and over P40 billion for 10 years," he added.

The government has targeted a minimum issue size of P30 billion each for the 10-year and 25-year benchmark bond. A minimum coupon of 5.875% was set for the 10-year bond, and 8.125% for the 25-year bond. Both are offered at par.

On Friday, the treasury bureau ended the offer period for the bond exchange.

The government has set the minimum coupon rates for at least P60 billion worth of new 10- and 25-year bonds offered in exchange for older notes at 5.875 percent and 8.125 percent per year, respectively.

Both securities to be priced at par.

http://www.mb.com.ph/node/292233/fir