Ayala Land intends to raise a portion of its P50 billion funding needs from green bonds and other sources, a company executive said over the weekend.
Ayala Land’s chief finance officer, Augusto Bengzon, said the company is likely to have 60 percent of the fundraising activity in the form of sustainability-led financing like green bonds.
The financing mix is 40 percent in the debt capital market, 40 percent in bilateral facilities, and 20 percent in multilateral loans.
The proceeds of the fundraising campaign will be used to finance development projects. For the rest of the year, Anna Ma. Margarita Dy, Ayala Land president, said the company is looking to launch P57 billion worth of new residential projects, of which two-thirds will cater to the premium market.
Stock brokerage firm RCBC Securities Inc. retained its earnings forecast of P31.2 billion for the realtor after it released its first half results.
Last week, Ayala Land posted a net income of P14.2 billion in the first half of the year, 8 percent higher than last year’s P13.15 billion.
Revenues reached P83.07 billion, lower by 1 percent than the P84.27 billion last year.
Property development revenues reached P52.3 billion, residential development revenues reached P41.3 billion, offices-for-sale generated P1.9 billion in sales, while the leasing and hospitality business posted revenues of P23.2 billion.
RCBC Securities, in an investor’s note released Friday, noted the uptick in reservation sales of Ayala Land, equivalent to P73.7 billion in the first half.
RCBC Securities said the uptrend “may continue in the remaining two quarters of the year and is likely to translate into higher residential revenues.”
