Geothermal power producer Energy Development Corp. said it signed a P3.5-billion loan agreement with Union Bank of the Philippines to refinance debt.
“We advise the exchange that on April 5, 2017, EDC executed a fixed 15-year amortizing loan with Union Bank of the Philippines for a total amount of up to P3.5 billion. The facility will be used to refinance existing loans of the company” EDC said in a disclosure to the stock exchange.
EDC said it also accepted tenders offers from noteholders of its $300-million 6.5 percent notes due 2021.
“On 5April 2017, further to the tender offer memorandum, EDC accepted valid tender offers of notes from noteholders representing an aggregate of $65.920 million at a price of $1,110 per $1,000 principal amount of the notes,” it said.
EDC appointed Hongkong and Shanghai Banking Corp. as dealer manager for the tender offer. The notes are listed on the Singapore Exchange Securities Trading Ltd.
The company said the purpose of the offer was to better manage currency risk and better optimize debt maturity profile.