A property firm owned by the Villar family looks to raise P30 billion in a series of bond sales that will run for three years.
Vista Land and Lifescape Inc. recently received regulatory approval from the Securities and Exchange Commission (SEC) for the bond sale.
The proceeds will fund the construction and completion of various malls, redevelopment of existing malls and the construction of condominium projects, as well as for general corporate purposes
The SEC said Vista Land intends to issue the first tranche of the bonds worth P5 billion, with a greenshoe option of another P5 billion, by December 12, 2019.
“The offer bonds will have a tenor of five years and six months from issue date. Vista Land may redeem in whole the outstanding bonds at 101 percent of the principal amount on the third year or at 100.5 percent on the fourth anniversary of the issuance,” it said.
China Bank Capital Corp., PNB Capital and Investment Corp., and SB Capital Investment Corp. serve as joint issue managers, lead underwriters, and bookrunners.
The company expects to net P9,856,411,281.25 from the offer, assuming the oversubscription option is fully exercised..
Vista Land earlier said profit for the first nine months of the year reached P9.1 billion, up 12 percent from P8.1 billion.a year ago.
Revenues reached P34.4 billion, up 9 percent from P31.4 billion last year.
“Leasing revenues for the period increased by 13 percent to P5.8 billion from P5.1 billion in the prior year period,” the company said.
Manuel Villar Jr., Vista Land chairman, said the company is “well-poised” to achieve another record year this year as Vista Land continues to deliver solid performance both from its leasing and residential businesses.
Villar said Vista Land’s reservations sales hit P61.6 billion, up 8 percent, of which majority remains overseas Filipinos and over 90 percent end-users.
Vista Land closed the period with assets of P268.0 billion, up from P238.3 billion in end-2018.
“We remain confident about the company’s prospects for the rest of the year as our leasing portfolio will be growing which complements our existing core and stable end-user housing business. Revenue growth from our existing investment properties of over 1.4 million square meters continues to be strong.
In terms of our residential business, we launched projects with an estimated value of P28.3 billion during the first nine months of the year, most of which were our CoHo projects and outside Metro Manila,” said Manuel Paolo Villar, Vista Land president.