By Jenniffer B. Austria | Jul. 14, 2014 at 12:01am [ manilastandardtoday.com ]
Century Properties Group Inc. is spending P12.3 billion to build residential and commercial projects between 2014 and 2019.
Century Properties said in a filing with the Securities and Exchange Commission it allotted P4.41 billion for capital expenditures from the second quarter of 2014 until 2016, which would be partially funded by a P3-billion maiden bond offering.
Another P7.9 billion will be spent from 2017 to 2019, which will be financed through collections of receivables from units already sold, internally generated cash and drawdown from credit facilities, it said.
Century Properties earlier reported it would issue P2 billion in three, five and seven-year fixed rate bonds, with an oversubscription of up to P1 billion.
The property company appointed BDO Capital & Investment Corp. and HSBC as joint underwriters for the offering.
Centur Properties will use proceeds from the bonds to finance the construction of residential projects, such as Azure (Bicutan), Commonwealth (Quezon City), the 60-story Century Spire at Century City as well as commercial projects, including the Fort Bonifacio office tower and projected lease components of Century Spire and Forbes Media office towers.
“In total, these projects are expected to have over 3,250 residential units and about 9,000 square meters of commercial leasing space,” Century Properties said.
Credit Rating and Investors Services Philippines Inc. earlier assigned an ‘AA+’ issue rating with a stable outlook on the bonds due to “Century’s strong market presence, healthy financial position, and excellent land banking strategy.”
Century Properties disclosed plans for the implementation and issuance of stock dividends amounting to two billion shares from the proposed application of an increase in its capital stock, subject to shareholders’ approval during the annual stockholders’ meeting on July 23.
Century Properties has completed 25 condominium and commercial buildings (8,777 units) with a total gross floor area of 873,127 square meters over the past 28 years.
Among its projects are Essensa East Forbes in Fort Bonifacio, South of Market in Fort Bonifacio, SOHO Central in the Greenfield District of Mandaluyong City, Pacific Place in Ortigas, a collection of French-inspired condominiums in Makati City called Le Triomphe, Le Domaine and Le Metropole, and the Gramercy Residences in Century City, Makati City.
It formally launched the Century City Mall in March 2014, its initial foray into the retail development.