Wednesday, November 18, 2009 | MANILA, PHILIPPINES [ BusinessWorld Online ]
THE HOME Development Mutual Fund (popularly called the Pag-IBIG Fund) said the sale of P12 billion worth of bonds has been moved to early next year.
Jaime A. Fabiana, Pag-IBIG chief executive, said the fund is still waiting for the approval of the Department of Finance (DoF) and the Bangko Sentral ng Pilipinas (BSP).
"We are still securing the permits from DoF and the BSP... [The issue will] not [be held] this year. It may be done early next year," he told BusinessWorld in a phone interview.
"The proceeds of the sale will be used to pay off maturing obligations and to support our operations," he added.
Mr. Fabiana said he is confident the offer will draw the interest of investors. "Pag-IBIG bonds are attractive because of their features. One of these is they are tax-free."
Pag-IBIG initially sought to float P12 billion worth of papers in October but was forced to defer it to amend their features. It intended to sell the papers in two tranches but later on decided on just a single transaction.
Mr. Fabiana said Pag-IBIG will use the Bureau of the Treasury’s facility to sell the papers.
Formed in 1978 through Presidential Decree 1530, the Pag-IBIG Fund is mandated to generate savings and provide affordable housing finance to its members. -- Alexis Douglas B. Romero
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