Property developer Ayala Land Inc. said Tuesday it plans to raise up to P30 billion from the debt market to partially finance the company’s spending program this year.
Ayala Land said in a disclosure to the stock exchange it planned to raise up to P20 billion in retail bonds, corporate notes and/or bilateral term loans with a term of up to 10 years.
The retail bonds will be issued under the corporation’s P50-billion debt securities program earlier approved by the Securities and Exchange Commission.
The property firm still has remaining P25 billion under its debt securities program after it issued P25 billion worth of fixed-rate bonds last year including P7 billion due 2023, P3 billion worth of Homestarter bonds due 2019, P7 billion bonds due 2025 and P8 billion bonds due 2026.
Ayala Land said it also planned to raise up to P10 billion through the issuance of short-dated notes with a tenor of up to 21 months to refinance short-term loans.
The property developer programmed a record P88 billion in capital expenditures this year, a slight increase from P85.40 billion it disbursed in 2016.
It said of the P88-billion spending program, P40.7 billion would be spent on residences, P11.8 billion on malls, P10.6 billion on land acquisition, P9.2 billion on offices, P5.5 billion on estates and P4.9 billion on other costs.
It is also ready to roll out P100 billion worth of projects this year as it plans to ramp up launches of residential and commercial developments to capitalize on the sustained growth of the domestic economy.
Ayala Land president and chief executive Bernard Vincent Dy earlier said residential developments would comprise the bulk of projects that it would unveil this year.
It plans to more than double the number of units to be launched in 2017 to 18,000 units from only 7,300 units launched in 2016.
Ayala Land registered a net income of P20.9 billion in 2016, up 19 percent from the 2015 level on the back of stable revenues from property development and leasing businesses.
Consolidated revenues increased 16 percent to P124.6 billion from a year earlier.