Robinsons Land Corp. (RLC) on Friday started trading P13.2-billion fixed-rate bonds at the Philippine Dealing and Exchange Corp. (PDEx).
The Gokongwei-led property developer held a virtual ceremony on Friday to list its three-year and five-year bonds with coupon rates of 3.6830% and 3.8000% per annum, respectively.
The bonds were oversubscribed from its original issue size of P10 billion. The Series C bonds had a final size of P12.76 billion due 2023, while the Series D bonds had a final size of P427.21 million due 2025.
“We are very grateful for the market’s positive reception of our bond offer resulting to it being oversubscribed. It underscores the investors’ continued vote of confidence in the company’s strength and growth prospects,” RLC President and CEO Frederick D. Go. said in the listing ceremony.
The offering was organized by joint lead underwriters and bookrunners BDO Capital & Investment Corp., BPI Capital Corp., China Bank Capital Corp., First Metro Investment Corp. and Standard Chartered Bank.
Proceeds from the issuance will be used to finance RLC’s capital expenditures until 2021, repay short-term loans maturing within the year, and support general corporate purposes.
The bonds were given a PRS Aaa rating by local debt watcher Philippine Rating Services Corp. (PhilRatings), which means the company is expected to have an “extremely strong” capacity to meet its financial commitment.
During the listing ceremony, PDEx President and Chief Operating Officer Antonino A. Nakpil said RLC’s bond offering is proof there is enough liquidity from domestic investors to provide funding for companies in need.
“As we believe that there is more investing power waiting to be tapped, we are committed to a digital effort to facilitate investor participation in the corporate debt market,” he said.
RLC’s bond listing is PDEx’s 19th listing for the year, pushing the year-to-date total of new listings to P234.73 billion. The total level of tradable corporate debt instruments now stands at P1.48 trillion, comprising 201 securities issued by 56 companies.
Earnings of RLC in the first quarter rose 82% to P3.34 billion due to changes in its accounting policy. RLC’s revenues jumped 70% to P11.57 billion on the back of robust sales from its residential segment.
Shares in the company at the stock exchange slid 16 centavos or 0.97% to close at P16.30 each on Friday. — Denise A. Valdez