[ manilastandardtoday.com ]
Vista Land & Lifescapes Inc., the
property unit of Villar Group, has finalized the terms and condition for the
planned issuance of P2.5 billion worth of homebuilder bonds.
The company said it filed with the
Securities and Exchange Commission the registration statement and prospectus to
issue and offer to the public homebuilder bonds amounting to P2.5 billion. It
plans to use the proceeds to fund general corporate activities.
Vista Land said it would issue the
bonds in tranches, with the first unit of P500 million expected by the second
half of this year.
The bonds aim to provide Vista Land’s
existing and prospective customers with an alternative investment vehicle and
assist and encourage them to purchase Vista Land’s horizontal and vertical
residential products.
“We are excited with the maiden launch
of our P2.5-billion HomeBuilder Bond series.
We believe that this vehicle, as we have structured it, is very
well-suited to the needs of our customer base and our product profile,” Vista
Land president and chief executive Manuel Paolo Villar said.
The minimum subscription under the
HomeBuilder bond is P180,000, payable in 36 equal monthly payments of P5,000.
At maturity, the bondholder will have
the option to either apply the investment proceeds for purchase of a Vista Land
property or opt for a cash pay-out.
Vista Land also provides bonus
credits, which can be applied as payment for a residential unit if they fulfill
certain investment requirements. The
bonds will have a tenure of three years, extendible to five years at the option
of the bondholder.
The company set an indicative interest
rate for the first tranche, ranging from 5 percent to 6.75 percent per annum.
Vista Land tapped Investment &
Capital Corp. of the Philippines as financial advisor and issue manager for the
offering.
Vista Land is the holding company of
five business units—Brittany, Crown Asia, Camella Homes, Communities Philippines
and its condominium development subsidiary, Vista Residences.
The company recently reported a
25-percent hike in net income in the first half to P2.19 billion.
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