Vista Land pegs rates of P5-b bonds
House and lot developer Vista Land and Lifescapes Inc. has set the coupon rates for its seven-year and 10-year bond offerings worth P5 billion.
Vista Land said in a disclosure to the stock exchange the seven-year bonds due will carry an interest rate of 5.7512 percent a year, while 10-year bonds due 2007 will have an interest rate of 6.2255 annually.
The offering period will start from July 18 to July 27, with the issue date set on August 4.
Credit Rating and Investors Services Philippines Inc. (“CRISP”) has rated the bonds AAA, the highest rating its assigned.
The bonds, which have a principal amount of P3 billion with an oversubscription option of up to P2 billion, will be the first tranche to be issued out of the P20-billion bond shelf registration of the company approved by the Securities and Exchange Commission.
Vista Land plans to use proceeds from the initial tranche to finance the company’s planned commercial developments, including the completion of the Evia Lifestyle Center in Daang Hari, Las Piñas and the development and of Vistamall Malolos in Bulacan.
The property firm has tapped Chinabank Capital as issue manager and underwriter for the fund raising activity.
The bonds will be listed at Philippine Dealing & Exchange Corp.
Vista Land is one of the leading integrated property developers in the Philippines and the largest homebuilder in the country.
It provides a wide range of residential products to customers across all income segments, and has recently expanded into the mass market retail mall and BPO segments through the acquisition of Starmalls.
Vista Land since starting operations in 1977 has built over 300,000 homes.