Ayala Corp. seeks regulatory nod for shelf registration of P30-B debt

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AYALA CORP. filed on Tuesday the registration statement for its proposed public distribution and sale of debt securities worth up to P30 billion to be issued in one or more tranches under the shelf registration program of the Securities and Exchange Commission.

According to its disclosure to the exchange, the first tranche of Ayala’s debt securities program will issue fixed-rate bonds in the aggregate principal amount worth up to P6 billion.

The proposal includes an oversubscription option of up to an additional P4 billion bonds, consisting of Series A bonds due 2024 and Series B bonds due 2026.

“The proposed issuance of the fixed rate bonds obtained the highest issue credit rating of PRS Aaa from the Philippine Rating Services Corp.,” Ayala said.

Companies rated with PRS Aaa are said to have a stronger capacity to fulfill financial obligations compared to other companies.

Meanwhile, the board of directors of Ayala’s real estate investment trust AREIT, Inc. has set the special stockholders’ meeting to April 23 for the discussion on the public offering of some 483.25 million primary common shares of AREIT.

“Said shares are to be subscribed by Ayala Land, Inc. in exchange for identified properties valued at [P15.46 billion] under a property-for-share swap with a transaction price of P32.00 [per] share,” AREIT said.

AREIT previously disclosed that the deal covers 250,000 square meters of leasable space, which includes Ayala Land commercial developments in Metro Manila and Negros Occidental.

Once the board has secured the approval of most of its minority shareholders, it will seek regulatory approval for the property swap deal.

On Tuesday, stocks of Ayala declined by 1.44% or P11 at the exchange to close at P752 apiece. Meanwhile, shares of AREIT improved by 0.75% to finish at P33.70 from P33.45. — Keren Concepcion G. Valmonte