Filinvest Land lists P7-B bonds


Posted at Dec 04 2014 03:33 PM | Updated as of Dec 04 2014 11:33 PM

MANILA, Philippines - Gotianun-led Filinvest Land Inc. successfully listed P7 billion of its 5-year and 10-year peso fixed- rate bonds at the Philippine Dealing Exchange, Thursday.

The bonds received the highest possible rating of PRS Aaa from Philippine Ratings Corporation (PhilRatings).

FLI’s fixed-rate bonds due 2021 and 2024 had an oversubscription of almost twice the base amount of P5 billion, enabling the company to exercise the P2 billion oversubscription option approved by the SEC.

FLI president and CEO Josephine Gotianun Yap said the funds will be used for capital expenditures for the next 15 months.

"For 2015, FLI is investing heavily in recurring income projects. Just from the existing projects already in the construction and planning stage, we can expect to triple our office portfolio and attain a 250% increase in our retail portfolio to hit close to 1.5 million square meters of gross leasable area in the next 5 years. We tap the long term bond market to insure our funding sources match our project horizon," Yap said.

Yap said the balance will be spent on residential developments and land acquisition

FLI is focusing on affordable and middle-income housing projects.

"By focusing on Oasis and Spatial medium rise buildings brands and the Futura affordable housing projects, majority of our projects serve our traditional markets and have construction cycles of less than a year for faster revenue recognition and less exposure to construction cost risk," she said.

FLI has been launching more projects in regional centers such as Iloilo City, Cagayan de Oro, and Palawan. In 2015, new projects are expected to be launched in Northern Luzon and Central Visayas such as Dumaguete.