FLI gets SEC nod for P5 billion bond float

November 7, 2009 11:46 pm 

MANILA, Nov. 8 — Filinvest Land, Inc. (FLI) announced on Friday that the Securities and Exchange Commission (SEC) has approved its issuance and sale of P5 billion worth of retail bonds.

FLI, in its disclosure to the Philippine Stock Exchange (PSE), said that the SEC issued its a “Certificate of Permit to Offer Securities for Sale” for its P5 billion fixed rate bonds last Nov. 6.

FLI is offering P5 billion worth of fixed-rate three- year and five-year bonds.

The bonds will be issued in minimum denominations of P50,000 each, and in integral multiples of P10,000 thereafter, and are intended to be listed in the fixed income exchange or the Philippine Dealing & Exchange Corp. (PDEx) to allow trading of the instruments in the secondary market.

FLI said the bonds have been priced at the lowest end of the price guidance based on the firm bids from qualified institutional investors and underwriters.

The three-year bonds will yield an interest of 7.52 percent per annum while the five-year bonds will yield 8.46 percent.

The offer period will start on Nov. 9 and will end on Nov. 13, 2009.

Issue date is on Nov. 19, 2009. The Philippine Rating Services Corporation (Philratings) has assigned the highest rating of PRS Aaa to Filinvest Land, Inc.’s (FLI) proposed fixed-rate bonds.

“Obligations rated PRS Aaa are of the highest quality with minimal credit risk. The obligor’s capacity to meet its financial commitment on the obligation is extremely strong,” said Philratings.

The rating assigned by Philratings reflects the following key considerations: improving net cash provided by operating activities, FLI’s diversified portfolio, the Company’s resilience as enhanced by its continued focus on the mass market housing segment, the steady growth in its real estate and leasing operations, its sound debt position and strong financial flexibility, and favorable industry conditions.

Joint lead managers and underwriters for the bonds are BDO Capital and Investment Corporation, BPI Capital Corporation and First Metro Investment Corporation, with China Banking Corporation and RCBC Capital Corporation as co-lead underwriters. (PNA)



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