ABS-CBN Corp. said on Friday that its board approved the issuance of P5-billion retail corporate bonds with an option to raise an additional principal amount of up to P5 billion in 2014.
The proceeds of the bond issue will be used for the development of sound stages.
“Planned sound stages for study are also for production for TV and movies, cause we are building up our inventory of programming content,” said Melissa Ortiz, ABS-CBN head of Investor Relations.
She added that, “Bulk would be for the sound stages and production forward.”
In a disclosure to the Philippine Stocks Exchange, the company stated that, “Please be advised that the board of directors yesterday [Thursday] afternoon authorized the offering and issuance in 2014 of retail corporate bonds in the principal amount of P5 billion with an option to raise an additional principal amount up to P5 billion. The board authorized the registration of such bonds under the Securities Regulation Code.”
In 2011, the conglomerate announced the construction of a state-of-the-art sound stage facility for a cost of P6 billion.
The Lopez-led company earlier said that the sound stage facility lies in a 15-hectare lot in San Jose del Monte, Bulacan, that was acquired by the company.
The facility will be comprised of six sound stages and a backlot.