Megawide Construction Corp. plans to raise up to P1.5 billion through fixed-rate notes to refinance existing obligations and for general corporate purposes.
The notes offering was granted an issue credit rating of PRS Aa with a stable outlook from Philippine Rating Services Corp. (PhilRatings).
Obligations rated PRS Aa are considered high quality and subject to very low credit risk, reflecting a very strong capacity to meet financial commitments. The stable outlook indicates the rating is likely to be maintained over the next 12 months.
PhilRatings said the rating and outlook were supported by Megawide’s solid brand and track record, strategic transit and property initiatives, sustained margin improvements despite a moderate decline in net income, and sustainable leverage levels.
PhilRatings noted that Megawide has delivered major infrastructure projects across different administrations, including the Parañaque Integrated Terminal Exchange, Mactan-Cebu International Airport, Clark International Airport and the Public School Infrastructure Project. It also continues to leverage its construction and engineering capabilities across its transport and property platforms.
The company has entered property development through PH1 World Developers Inc., which focuses on affordable to mid-income housing. It also participates in the government’s Pambansang Pabahay para sa Pamilyang Pilipino program through its subsidiary Megawide Dreamrise Residences Inc.
Megawide’s debt-to-equity ratio improved to 1.9 times as of the end of September 2025, from 2.1 times at the end of 2024, supported by lower debt and higher equity. Part of the company’s debt was settled using P3.5 billion in cash collected from parent Citicore Holdings Investment Inc.
Management said it intends to further strengthen the company’s financial position by retiring a substantial portion of its debt over the next year.
Last year, Megawide approved an increase to its dividend declaration policy to 50 percent of its previous year’s net income, up from 30 percent.
