CENTURY Properties Group Inc.’s (CPGI) planned P12-billion bond issuance has secured pre-effective approval from the Securities and Exchange Commission (SEC), marking a key step forward in a fundraising program announced late last year.
In a disclosure on Friday, the property developer said the SEC had favorably considered the shelf registration of debt securities with an aggregate principal amount of P12 billion.
The first tranche of the program will consist of a base offer of up to P3 billion worth of fixed-rate bonds with an oversubscription option of up to P2 billion.
The bonds would be offered at 100 percent of face value. Following completion of the offering, the securities would be listed and traded on the Philippine Dealing & Exchange Corp.
Century Properties said the registration would be declared effective upon the SEC’s issuance of an order of registration and permit to sell securities, subject to the company’s submission of its final prospectus, transaction agreements and compliance with other conditions.
The company had earlier announced it was planning to raise as much as P12 billion through a multi-tranche bond issuance to support its business plans and strengthen its capital structure.
The company said it would furnish the exchange with all material documentation and regulatory filings related to the transaction as these became available.
Century Properties shares slipped 1.39 percent to close at P0.71 each on Friday.