ACR to raise P2B in CP sale

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    Alsons Consolidated Resources Inc. looks to raise P2 billion from the sale of commercial papers it will use to primarily finance maturing obligations.

    The issuance forms part of a P3-billion commercial paper shelf-registration program the company has, with the current issuance comprising its first tranche.

    The first tranche has the following tenors: 182 days and 364 days for Series and P, respectively.

    The CPs (commercial papers) will be effectively subordinated in right of payment to all secured debt of the company,” it added.

    Alsons said the proceeds will be disbursed in the first and second quarter of the year paying out a total of P1.24 billion in maturing short-term obligations.

    The balance of the proceeds, as well as the proceeds of the second tranche, will then be used for the development of the company’s 22 megawatts, P2.85 billion, Sindangan-Zambo hyro-power project in Zamboanga del Norte.