PROPERTY developer Sta. Lucia Land Inc. (SLI) is looking at raising P2 billion to P3 billion more for its land banking and capital spending program for 2016.
Just this month, SLI raised P4 billion from a bond offering, and P300 million from a 400 million share sale at P0.75 apiece.
But David dela Cruz, SLI chief finance officer and executive vice president, said the company still needs to raise up to P3 billion for its land banking initiatives.
“We might do other fundraising in the future. It could be equity, could be quasi equity, and could be more debt. I’m going to close 2015 with probably about P160 billion in debt, and about P12 billion in equity. So there’s still room, either to get more debt or [sell]quasi equity,” Dela Cruz said.
“Probably we will need about P2 billion to P3 billion in the near-term. Likely, towards the end of 2016,” the SLI CFO said.
“At the same time, we have conscious effort to expand the land bank. Competitors are starting to go to the provinces, where we are. So we need to strengthen our own projects,” he added.
Most of the net proceeds of the P4 billion bonds will refinance existing secured loans, the rest will be allotted to land banking and accelerate ongoing projects.
Aside from land banking, Dela Cruz said SLI is “trying to accelerate our projects by a factor of 15 to 20 percent, to make it a little faster.”
According to its filing, SLI said it is working on a P2.877-billion land acquisition involving 223 hectares for future projects.
The acquisitions are in Quezon City (40 hectares), Rizal (18.1 hectares), Batangas (98 hectares), Laguna (10.7 hectares), Iloilo (33.2 hectares), and Davao (23 hectares).