Vista Land & Lifescapes Inc. (VLL), the real estate arm of billionaire Manuel Villar, announced Wednesday plans to return to the bond market with the registration of three-year bond program worth P35 billion.
VLL said in a disclosure to the stock exchange the initial tranche from the program would involve P10 billion worth of peso-denominated fixed rate bonds, consisting of P6 billion base offer and P4 billion to cover oversubscription.
It will file and register the bonds with the Securities and Exchange Commission.
The property firm hired China Bank Capital Corp., SB Capital Investment Corp. and Union Bank of the Philippines as joint lead underwriters and bookrunners for the transaction.
VLL did not say how it would use the proceeds from the fund-raising activity, but the company has P6.5 billion worth of five-year bonds maturing in December this year.
VLL tapped the bond market in December 2019 when it raised P10 billion from the sale of six-year bonds with interest rate of 5.6992 per annum.
The property firm has P25 billion worth of fixed-rate bonds listed with the Philippine Dealing & Exchange Corp.
VLL remains bullish on the property sector and plans to aggressively launch housing projects in the second half of the year after posting strong first-half results.
VLL is one of the largest house-and-lot developers in the country and recently shifted to upscale high-rise projects and estate developments, as Filipinos’ purchasing power increases.
It recently launched the 3,500-hectare Villar City—a mixed-use estate spanning 15 cities, with residential, hotel, commercial and office components.
VLL earmarked P12.2 billion for 2023 capital expenditures mainly for construction and land development.
The group owns 3,085 hectares of land for future development.
The share price of VLL climbed 2.55 percent Wednesday to close at P1.61.