ROCKWELL Land Corp. has raised P10 billion from its latest fixed-rate bond issuance, which was listed on the Philippine Dealing and Exchange Corp. (PDEx) on Wednesday.
The issuance marks the company’s return to the Philippine debt capital markets for the first time since 2013.
The offering consisted of three-year bonds with an annual interest rate of 5.5666 percent and five-year bonds carrying an interest rate of 5.8595 percent per annum.
“Our sincere appreciation to all our underwriters and partners who worked closely with us to bring this P10 billion bond issuance together. We were pleasantly surprised by the reception. Certainly, it is strong relationships that allow us not only to endure, but to survive situations we aren’t prepared for,” Rockwell Land Chairman Nestor Padilla said.
Investor demand proved strong, with the order book oversubscribed roughly five times the base offer of P7.0 billion, reflecting broad confidence in Rockwell Land’s long-term outlook, the company said.
It added that the investor base included a well-diversified mix of retail and institutional participants
Proceeds from the issuance would be used to fund capital expenditures for land development and ongoing construction projects, including horizontal residential developments, Power Plant Mall Angeles, Rockwell at IPI Center in Cebu, Aruga Mactan Hotel, and Rockwell Center Bacolod.
The bonds received the highest possible rating of “PRS Aaa” with a stable outlook from Philippine Ratings Services Corp., indicating that the obligation was of the highest quality with minimal credit risk.
BDO Capital & Investment Corp. and First Metro Investment Corp. served as joint issue managers, while PNB Capital and Investment Corp. and RCBC Capital Corp. acted as joint lead underwriters and bookrunners for the offering.
Rockwell Land shares added P0.01, or 0.56 percent, to close at P1.81 each on Wednesday.
