PROPERTY-DEVELOPER Cebu Landmasters Inc. (CLI) is raising P8 billion from selling debt notes to finance its expansion plans.
The Cebu property giant told the stock exchange Monday, March 9, 2020, it’s signed a notes facility agreement for the debt securities offering. he firm is selling the company notes with tenors of 5, seven and 10 years.
The issue was oversubscribed and also the whole over-allotment option was exercised by the corporate.
The five-year, seven-year and 10-year corporate notes amounted to P1.3 billion, P5.7 billion and P1 billion, respectively. The institutions who participated are Bank of the archipelago, China Bank, Development Bank of the Philippines (DBP), Rizal Commercial Banking Corp. (RCBC) and welfare System.
The issuance was jointly arranged by BPI Capital Corp. and China Bank Capital Corp., with DBP, Landbank and RCBC as co-arrangers.
Cebu Landmasters appointed BPI Asset Management and Trust Corp. because the flexibility agent and paying agent. The proceeds of the notes are used for strategic land acquisitions in Cebu, Bohol, Bacolod, Cagayan de Oro and Davao.
The proceeds also will fund projects in new expansion areas like Puerto Princesa, Leyte, Butuan and General Santos City.
“Part of the proceeds also will fund the event of the 22-hectare central business hub in Matina, Davao,” CLI said.
CLI president Jose Soberano III said Visayas and Mindanao’s “economic dynamism, resilience and social growth” have given rise to exceptional property opportunities in its strategic urban areas. “Our expertise and relationships within the region have allowed us to maximise those opportunities and have served as drivers of the firm’s consistent growth,” he said.
The Cebu-based firm listed in 2017 now has 58 developments in eight key cities. it’s functioning on 27 projects which is in a position to be unrolled soon.
Source: Sunstar Cebu