Jollibee Foods Corp. (JFC) said Monday it will redeem $300 million worth of guaranteed senior capital securities issued through wholly-owned subsidiary Jollibee Worldwide Pte Ltd (JWPL).
The $300-million notes, which carry a fixed coupon rate of 4.125 percent annually and were issued on June 24, 2020, will be redeemed on their maturity date of Jan. 24, 2026, JFC said in a disclosure to the stock exchange.
Following the redemption, the securities will be canceled and delisted from the Singapore Exchange Securities Trading Ltd.
The notes were part of a larger $600-million issuance made by JFC in 2020 to strengthen its financial position during the peak of the COVID-19 pandemic.
The fast-food giant also raised $300 million in March from the issuance of five-year, Regulation S only US dollar-denominated senior unsecured guaranteed notes, which have a fixed coupon of 5.332 percent. Proceeds from that offering were intended for general corporate purposes and/or refinancing JWPL’s existing borrowings.
The March offering saw significant investor interest, with the final orderbook surpassing $2 billion due to robust participation from high-quality international accounts and domestic investors.
The company’s positive financial performance comes as it reported strong growth. JFC’s net income for the third quarter was P3.034 billion, an 8-percent increase from the same period last year on the back of double-digit revenue growth.
Systemwide sales in the third quarter rose 16.8 percent to P115.07 billion, supported by a 32.4-percent increase in sales from the international business and 5.5-percent growth in the domestic business.
Nine-month net income also climbed 2.2 percent to P8.65 billion, reversing a decline recorded during the first half of the year.
JFC chief finance officer Richard Shin said the company remained on track to deliver double-digit top- and bottom-line growth, based on the company’s first nine-month performance.
Jollibee operates 10,304 stores globally, with 6,859 overseas and 3,445 in the Philippines.
