Wednesday, October 31, 2012

DMCI raises P10 B through debt notes

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MANILA, Philippines—The real estate and housing unit of DMCI Holdings has raised P10 billion from the sale of long-term debt to selected institutional investors.


DMCI told the Philippine Stock Exchange on Wednesday that its unit DMCI Project Developers Inc. has signed the seven-year fixed rate corporate notes facility, which was upsized from the original offer of P5 billion due to strong demand.


The disclosure said the DMCI housing unit would use the proceeds from the notes issue “to finance project development and construction costs, acquire real estate properties, and fund other general corporate purposes.”


Unlike retail bonds which require a more stringent registration process with the Securities and Exchange Commission, the issuance of corporate notes is a faster fund-raising exercise because the notes are privately offered and sold to no more than 19 institutional investors.


BDO Capital & Investment Corp. acted as the lead arranger and sole bookrunner of the notes issue.


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Tags: Banking and Finance , Business , News , Real Estate , Stock Market



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