NLEX Corp., formerly Manila North Tollways Corp., plans to issue up to P25 billion in fixed rate bonds.
NLEX Corp. said in a disclosure to Philippine Dealing & Exchange Corp. its board approved the shelf registration, public offer and issuance of fixed rate peso bonds worth P25 billion.
The bonds, which will be registered with the Securities and Exchange Commission, may be issued in one or more tranches within the shelf period under the terms and conditions as may be determined by the government.
NLEX Corp. is owned by Metro Pacific Tollways Corp., the tollways unit of infrastructure conglomerate Metro Pacific Investments Corp.
It is primarily engaged in project development, design, construction, financing, operation and management of toll roads. It holds the concession of North Luzon Expressway, the largest toll road in the country,
The tollroad firm earlier budgeted P19 billion in capital expenditures this year to build new expressway projects to help solve Metro Manila’s traffic bottlenecks.
The company plans to use the bulk of the company’s 2018 capital expenditure to construct the urban portions of North Luzon Expressway, such as the Harbor Link Segment 10 (including the R10 Section in Dagat-Dagatan, Navotas City) and the NLEx-SLEx Connector Road project.
The tollway company said the planned investment assumed the satisfactory resolution of the tariff adjustments. The petitions were still subject to review and adjustment, depending on the results of the discussions on the tariff, it said.
Expected to be opened this year, Harbor Link Segment 10 is a 5.7-kilometer elevated expressway traversing NLEx from Smart Connect Interchange and cross over Mac Arthur Highway in Valenzuela City with down ramps along C3/5th Avenue Interchange in Caloocan City.
When Harbor Link is fully completed, travel between the Ports of Manila and NLEx is expected to take only 10 minutes, providing direct expressway access for commercial vehicles, specially heavy trucks.
Other projects slated for this year include the capacity expansion of the 8-kilometer Subic Freeport Expressway and the construction of a new expressway service facility and rest area along Km. 17 southbound of the NLEx.