Conglomerate Ayala Corp. hired seven banks to handle its planned P20-billion preferred shares offering in June 2025.
Ayala engaged BDO Capital Investments Corp., BPI Capital Corp., Chinabank Capital, First Metro Investments Corp., PNB Capital, RCBC Capital Corp. and Security Bank Capital as joint lead underwriters and book runners for the offering, based on the registration statement filed with the Securities and Exchange Commission.
The conglomerate will issue the preferred shares with a base amount of P10 billion and an oversubscription option for another P10 billion.
Tentative offer period will run from June 2 to 6, 2025, while the issue date in on June 18, 2025.
The deal is subject to regulatory approvals.
Ayala will use the net proceeds from the offering to fund the refinancing of peso-denominated obligations and corporate general purposes.
Assuming the base offer and oversubscription will be sold, Ayala will spend P11.3 billion to repay short-term loans with Bank of the Philippine Islands (BPI) and P1.3 billion for partial repayment of another short-term loan with BPI.
The remaining P7.26 billion will be used for general corporate purposes and capital expenditures.
The conglomerate earlier said it earmarked P230 billion for 2025 capital expenditures primarily to support the expansion plans of its core real estate, power generation and telecommunication businesses.
Bulk of this year’s spending will go to the group’s property unit Ayala Land Inc. (ALI) which earmarked P95 billion to roll out more malls, hotels and residential projects.
Power generation unit ACEN Corp. will receive P70 billion, up 44 percent from last year’s P48.7 billion to support incoming pipeline projects.
Globe Telecom Inc. will also spend P46.6 billion, lower than 2024 spending of P56.2 billion, while AC Mobility will spend P3.8 billion this year, up by 125 percent from P1.7 billion in 2024 as it ramps up inventory, dealership and EV charging infrastructure.
Ayala’s net income rose 10 percent in 2024 to P42 billion. Excluding one-off items, core net income increased 10 percent to an all-time high of P45 billion.