Site icon News Bit

Cebu Landmasters plans to offer up to P8-B bonds – BusinessWorld Online

Cebu Landmasters plans to offer up to P8-B bonds – BusinessWorld Online
CEBULANDMASTERS.COM/

PROPERTY developer Cebu Landmasters, Inc. (CLI) announced that it plans to offer and issue peso-denominated fixed-rate bonds worth up to P8 billion.

The bonds have a principal amount of up to P5 billion and a P3-billion oversubscription option. The issuance is part of an initial offer from its shelf-registered P15-billion debt securities program to be utilized within three years.

“This maiden public bond offer of Cebu Landmasters is part of our strategy to sustainably maintain our growth and expansion plans as we serve the housing needs of the Filipino family,” CLI Chief Finance Officer Grant L. Cheng said in a statement.

“Especially in [Visayas-Mindanao] where the need for quality housing is constantly underserved, CLI is committed to delivering this essential need and contributing to the development of the communities we are helping to build,” he added.

The bonds have indicative maturities ranging from three-and-a-half to seven years, with the periods to be determined during the final offer by the third quarter.

The company tapped Philippine Depository and Trust Corp. as registrar and paying agent; and BPI Capital Corp. and China Bank Capital Corp. as joint issue managers, joint lead underwriters, and joint lead bookrunners.

“We’re excited to bring our story to the public debt markets and we believe we have something unique to offer debt investors,” Mr. Cheng said, adding that the company is pleased to have its “strongest partners” manage the maiden issuance.

CLI said it is planning to use the bonds to support its growth plans, primarily for market investments and land banking activities.

The fresh capital will also be used for large-scale estate projects such as the 22-hectare Davao Global Township, the 14-hectare Manresa Town in Cagayan de Oro, and the 100-hectare Minglanilla Techno-Business Park in Cebu.

In the first quarter, CLI reported that its net income rose by 14% to P811 million. Revenues likewise jumped 53% to P3.56 billion.

Earlier this month, CLI announced that it was planning 21 pipeline projects worth P31.5 billion.

During the company’s annual stockholders meeting on June 7, Mr. Cheng said that CLI had set aside more than P13 billion for its 2022 capital spending to cover land acquisition and construction progress.

He said the company had secured this year more funding facilities at longer tenors and at lower fixed rates.

At the stock exchange on Tuesday, CLI shares ended lower by 1.14% or three centavos to P2.60. — Luisa Maria Jacinta C. Jocson

For all the latest Business News Click Here 

 For the latest news and updates, follow us on Google News

Read original article here

Denial of responsibility! NewsBit.us is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – abuse@newsbit.us. The content will be deleted within 24 hours.
Exit mobile version