PLDT Inc. raised $600 million to refinance its maturing debts and partly finance its capital expenditure this year.
PLDT said it sold $600 million, 10-year and 30-year dual-tranche offering, a fixed coupon of 2.500 percent and 3.450 percent, respectively, payable semi- annually.
The bonds were priced at T+180 and T+195 with a re-offer yield of 2.566 percent and 3.495 percent. The final order book was 17 times over-subscribed with the order book allocated predominantly to Asia, and the balance to Europe, reflecting the strong confidence investors have in the PLDT credit.
The Issuer is rated BBB+ stable by S&P, Baa2 stable by Moody’s and BBB stable by Fitch. The Notes are rated BBB+ by S&P.
“We are extremely gratified by the response of the international bond market to our return. It has been 18 years since our last foray — we started our roadshow in Singapore on Sept. 11, 2001 and, if one recalls, we were soon faced with a global crisis then, just as we are today. For the better part of those years, the road was mostly smooth, but there were bumps along the way which made our journey difficult,” said Manuel Pangilinan, PLDT chairman, president and chief executive officer.
Upon issuance, the net proceeds from the bonds will be used to refinance the PLDT’s maturing debt obligations in second half of 2020 and 2021 and prepay outstanding loans and partially finance capital expenditures.
Credit Suisse (Singapore) Limited and UBS AG Singapore Branch are the Joint Lead Managers and Joint Bookrunners for the transaction.
Latham & Watkins, LLP and Picazo Buyco Tan Fider & Santos acted as Issuer Counsel; Milbank LLP and SyCip Salazar Hernandez & Gatmaitan acted as underwriters’ Counsel for the transaction.
