Posted on October 31, 2013 10:25:50 PM
[ BusinessWorld Online ]
THE SECURITIES and Exchange Commission
(SEC) has approved the planned P5-billion bond issue of Rockwell Land Corp., an
official of the regulator said yesterday.
SEC Secretary Gerard M. Lukban, in a text message, confirmed that the
commission en banc gave its approval on Wednesday.
The bonds will have seven-year
maturity, while coupon rate will be based on the interpolated 7.25-year
Philippine Dealing System Treasury-Fixing Benchmark rate.
Rockwell Land last month said proceeds
of the bond offering will be used to help bankroll Proscenium, a P26-billion
mixed-use project at Rockwell Center in Makati City which features five towers.
Construction of the first three towers started early this year. The
transaction’s issue manager will be First Metro Investment Corp., which
together with SB Capital and Investment Corp., will act as joint lead
underwriters.
Local debt watcher Credit Ratings and
Investors Services Philippines, Inc. has assigned ‘AA+’ issuer rating on
Rockwell Land, reflecting the borrowers’ “very strong capacity to repay debt
with a low probability of default and a high recovery rate in a worst case
scenario.”
A number of firms have tapped the debt
market this year, and more a scheduled to follow.
GT Capital Holdings, Inc. in the
February issued P10-billion fixed-rate bonds.
Ayala Land, Inc. early this year
issued P21 billion worth of fixed-rate bonds -- P15 billion in July and P6
billion last month.
Meanwhile, Aboitiz Equity Ventures,
Inc. plans to sell P10 billion worth of retail bonds next month.
Manila Electric Co and Filinvest Land,
Inc. are also looking to sell P20-billion and P7-billion worth of bonds,
respectively, in the fourth quarter.
Rockwell Land’s net income increased
25.57% to P555 million in the first half from P442 million in the same six
months last year.
This as revenues climbed 25.58% to
P3.24 billion from P2.58 billion, while expenses increased 24.75% to P2.47
billion from P1.98 billion.
Shares of Rockwell Land added two
centavos or 1.04% to settle at P1.94 apiece yesterday from P1.92 each on
Wednesday. -- C. H. C. Venzon
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