SEC approves Arthaland’s green bond shelf offering
THE Securities and Exchange Commission (SEC) has approved Arthaland Corp.’s shelf registration for ASEAN Green Bonds of up to P6 billion.
In a statement on Monday, the corporate regulator said the approval of Arthaland’s registration statement will still be subject to its compliance with certain conditions detailed in the SEC’s pre-effective letter dated Dec. 17.
“The first tranche of P2,000,000,000.00 with over-subscription option of up to P1,000,000,000.00, if fully exercised, shall be offered over a period not exceeding three years from the effective date of the registration statement,” the SEC said.
The green bonds will be issued in scripless form, in denominations of P50,000 and in multiples of P10,000 after. The bonds will be traded in denominations of P10,000 in the secondary market.
Arthaland is aiming to raise P2.945 billion from the offering, which will be used for new or existing green projects. The developer is allocating P1.5 billion for development of Savya Financial Center, or its other green projects to maintain office and retail units, while P305.35 million will be allotted to repay loans for the development of Arthaland Century Pacific Tower (ACPT).
Savya Financial Center, which was launched early this year, has been registered for dual certification under US Green Building Council’s Leadership in Energy and Environmental Design (LEED) and the Philippine Green Building Council’s Building for Ecologically Responsive Design Excellence (BERDE).
Arthaland also earmarked P1.14 billion from the offering’s proceeds to acquire properties under its “Manila Long Term Project.”
Philippine Rating Services Corp. gave the green bonds a rating of “PRS Aa minus” with a “stable outlook.”
BDO Capital Investment Corp. and ING Bank N.V. have been tapped as underwriters and book runners, while PNB Capital and Investment Corp. will be the co-lead manager.
Last year, the SEC said it is adopting the ASEAN Green Bonds standards, which will promote the use of such bonds to finance and refinance, partially or fully, new or existing eligible green projects. Green projects are those which incorporate features such as renewable energy, energy efficiency, pollution prevention and control.
Shares in Arthaland ended flat at P0.80 each at the stock exchange on Monday. — Vincent Mariel P. Galang
