PROPERTY giant Ayala Land Inc. (ALI) is set issue P3 billion of Homestarter Bonds and P7 billion worth of fixed rate bonds, the company said on Friday.
In a disclosure to the Philippine Stock Exchange, ALI said its board of directors has approved the terms and conditions of the two bond offerings.
The P3 billion Homestarter bond will be the seventh tranche of ALI’s Homestarter Bond program since it was launched in 2006.
“It [Homestarter Bonds] is offered by the company as a savings tool to future buyers of ALI’s residential products, providing benefits to investors who exercise their option to apply proceeds of their Homestarter Bond as partial or full payment for an Ayala Land home,” ALI said in a disclosure earlier this year.
ALI said the P3 billion Homestarter bond will be issued under its three-year, P50-billion debt securities program that was approved by the Securities and Exchange Commission (SEC) last March.
Meanwhile, ALI explained that the P7-billion bond offering will be the third tranche of the Fixed Rate Series under the said debt securities program.
The first two tranches of the fixed rate retail bonds worth P8 billion and P7 billion were issued in March and April of this year, respectively.
Proceeds raised from the P50-billion debt securities program will be used to partially fund the company’s capital expenditures and for general corporate purposes.