Conglomerate Aboitiz Equity Ventures Inc. plans to raise up to P10 billion from the issuance of fixed rate bonds.
AEV said in a disclosure to the stock exchange Monday it filed with the Securities and Exchange Commission a request to issue P5 billion in fixed rate bonds wit an oversubscription option P5 billion.
The bonds will be the third tranche to be issued from the company’s P30-billion bond shelf registration program earlier approved by the SEC in 2019.
AEV plans to use the net proceeds from the fund raising activity to finance the early redemption of certain outstanding bonds of the company, finance future funding requirements of Aboitiz InfraCapital Inc. and other general corporate purposes.
Subject to market conditions, the bonds would be offered to the general public during the third quarter of 2021. AEV intends to list bond with Philippine Dealing and Exchange Corp.
Meanwhile, AEV reported that the latest bond offering received a credit rating of PRS Aaa, with a stable outlook, from Philippine Rating Services Corporation (PhilRatings).