• Megaworld’s P12-B bond issue oversubscribed 2.2X


    LISTED property developer Megaworld Corp. said its P12-billion bond issue has been oversubscribed 2.2 times amid strong demand.

    The company said on Tuesday the issue drew in a wide range of subscribers ranging from retail investors to banks, investment funds, pension funds, insurance companies and other corporate entities.

    Megaworld issued P12 billion in fixed-rate bonds with a yield of 5.3535 percent per annum due 2024. The offer period closed on March 21.

    “Proceeds from the bonds are intended to primarily finance the issuer’s capital expenditures in relation to its investment properties,” Megaworld said.

    The bond issue is part Megaworld’s three-year, P30-billion bond program under shelf registration.
    Megaworld last issued bonds in 2009.

    The P12-billion Series B bonds were rated PRS Aaa with a “stable outlook” by the Philippine Rating Services Corporation (PhilRatings), which is the highest rating assigned by the credit rating agency.

    BDO Capital & Investment Corp. was the issue manager, lead underwriter and sole bookrunner of the deal, while China Bank Capital Corp. participated as an underwriter for the issue.

    Megaworld is the property vehicle of businessman Andrew Tan under his umbrella conglomerate Alliance Global Group Inc.

    The company currently has a lineup of 22 townships and integrated lifestyle communities spread across Luzon, the Visayas, and Mindanao.


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