AYALA Corp. on Monday said that it had secured a $100 million sustainability-linked loan facility from DBS Bank Ltd. as the diversified conglomerate moves to further strengthen its funding base and expand its sustainable finance portfolio.
The facility, which may also be drawn in Singapore dollars (SGD), marks Ayala’s maiden SGD-denominated hedged loan facility, and is expected to support the continued expansion of its businesses across core sectors.
Ayala said the transaction highlights growing market confidence in the company’s credit standing and long-term growth prospects, while also broadening its access to capital amid volatile global conditions.
“This facility enables us to support Ayala’s growth initiatives while reinforcing our commitment to responsible and sustainable business practices,” Ayala Chief Finance Officer Juan Carlos Syquia said.
“It also reflects Ayala’s ability to access funding at attractive terms under this challenging environment,” he added.
The listed conglomerate said the sustainability-linked structure aligns its financing activities with its environmental, social and governance (ESG) objectives as it continues to grow its portfolio.
Meanwhile, Ayala Executive Director and Treasurer Estelito Biacora said the transaction would help deepen the company’s regional banking relationships while improving financial flexibility.
“This transaction strengthens Ayala’s ability to access diversified funding sources and widen reach of our partnership in the region,” he added.
“It reflects our disciplined approach to capital management and the continued integration of sustainability into our financial strategy," Biacora said.
For DBS, the deal also demonstrates increasing demand for sustainability-linked financing solutions in the region.
DBS Group Head Lim Wee Seng said the facility gives Ayala the flexibility to choose between US dollar and Singapore dollar borrowings.
“This is exactly the type of partnership we want to build with leading corporates in the region: one where capital supports business priorities, while sustainability is embedded into the way growth is financed and measured,” he added.
Shares of Ayala Corp. jumped P1.00 or 0.21 percent, to close at P471.00 each on Monday.