Property developer Sta. Lucia Land Inc. plans to raise up to P5 billion through the issuance of corporate notes.
Sta. Lucia said in a disclosure to the stock exchange its board approved the issuance of P3 billion worth of seven-year debt paper with an over allotment option of P2 billion.
The company plans to use proceeds from the fund raising activity to prepay some obligations, finance project development costs, and for general corporate purposes.
Sta. Lucia said the board authorized the company to purchase eight parcels of land in Dagupan City, Cavite, Laguna, Batagas, Rizal, Iloilo, Davao and General Santos City. It gave the go-signa to enter into joint ventures involving the development of the eight parcels of land in Baguio City, Bulacan, Quezon City, Cavite, Rizal, Batangas, Palawan and Negros Occidental.
The company in September said it earmarked P15 billion in capital expenditures over the next three to five years to develop a recurring income business to complete its residential projects.
The property firm said it planned to develop more retail, commercial and tourism-related establishments to complement its massive residential developments.
The property firm is currently developing six to eight condotel projects under the Sotogrande brand in Davao, Iloilo, Fairview in Quezon City and Katipunan, also in Quezon City.
Sta. Lucia plans to develop retail establishments within its residential projects across the country.
Its land bank is currently a 1,500 hectare, with 900 hectares under joint venture development. These properties are in several parts of the country, including Pangasinan, Bulacan, Marikina, Quezon City, Pasig City, Cavite, Laguna, Batangas, Rizal, Quezon province, Palawan, Negros Occidental, Iloilo, Cebu, Zamboanga City, General Santos City and Davao.
At least 40 hectares have been earmarked for future commercial development.
The company in June redeemed P2 billion worth of unsecured fixed-rate bonds.
Sta. Lucia, which is owned by the Robles Group, has developed 220 subdivision projects over the past 20 years, including residential estates surrounding 10 golf courses and country clubs.
Share price of Sta. Lucia on Tuesday closed at P1.04.
