Aboitiz Equity Ventures Inc. said Friday it obtained the Securities and Exchange Commission’s approval to issue up to P17.45 billion worth of fixed-rate bonds that will partly finance the acquisition of Coca-Cola Beverages Philippines Inc.
AEV said it would issue the bonds as second and final tranche from the company’s P30-billion bond shelf registration program approved by the SEC in 2022.
The bonds will have a base offer of P11 billion and an oversubscription option for another P6.45 billion. The offer period commenced on Sept. 7, 2023 and will end on Sept 13, 2023.
AEV said it would use the net proceeds from the fund-raising activity to pay maturing debt and partially finance the acquisition of Coca-Cola Beverages Philippines.
The company appointed BDO Capital & Investment Corp., First Metro Investment Corp., BPI Capital Corp., China Bank Capital Corp., First Metro Investment Corp., SB Capital Investment Corp. and Union Bank of the Philippines as the joint bookrunners and joint lead underwriters for the offering.
AEV intends to list the bonds with the Philippine Dealing & Exchange Corp.
AEV reported in August it teamed up with Coca-Cola Europacific Partners Plc. to acquire CCBPI for $1.8 billion. The acquisition is part of the AEV’s diversification strategy.
AEV has investments in power generation, infrastructure, property development, financial services and agribusiness.
The conglomerate earmarked P78 billion for 2023 capital expenditures, up 10 percent from P70 billion it spent in 2022 primarily to invest in more renewable energy projects and support the expansion of new businesses.
The share price of AEV advanced by P0.35 Friday to close at P49.
