The Securities and Exchange Commission (SEC) has considered favorably the respective public offerings by Filinvest Land, Inc., Megawide Construction Corp. and Cityland Development Corp.
In its meeting on October 27, the Commission En Banc resolved to render effective the registration statements of Filinvest covering up to P30 billion of fixed-rate bonds under a shelf registration, Megawide for up to P5 billion of perpetual preferred shares, and Cityland for up to P1.4 billion of commercial papers, subject to the companies’ compliance, with certain requirements.
Filinvest will offer up to P6.75 billion of bonds for the first tranche of the offering, with an oversubscription option of up to P2.25 billion. The offer will consist of three-year bonds due 2023 and 5.5-year bonds due 2026.
The company expects to net P8.88 billion from the offer, should the oversubscription option be fully exercised. The proceeds will be used to refinance Filinvest’s maturing debt and to fund its capital expenditures and general corporate requirements.
The bonds, which will be offered at face value, will be listed and traded on the Philippine Dealing & Exchange Corp.
Filinvest tapped BDO Capital & Investment Corporation, BPI Capital Corporation, China Bank Capital Corporation, East West Banking Corporation, and SB Capital Investment Corporation as joint lead underwriters and bookrunners for the offer. First Metro Investment Corporation will serve as co-lead underwriter.
Megawide will offer 30 million non-voting perpetual Series 2 Preferred Shares, with an oversubscription option of up to 20 million non-voting perpetual Series 2 Preferred Shares, priced at P100 apiece.
The preferred shares will be listed and traded on the Main Board of the Philippine Stock Exchange.
Assuming the oversubscription option is fully exercised, Megawide expects to net around P4.96 billion for the offer. Proceeds will be used to partially finance the company’s existing projects, including the Mactan-Cebu International Airport and Parañaque Integrated Terminal Exchange, as well as the expansion of its pre-cast plant capacity, among others.
The SEC has likewise approved Cityland’s offering of commercial papers, where the company expects to net around P1.39 billion.
Proceeds from the offer will be used to partially finance the construction of the company’s projects and to pay its maturing notes.
Additionally, the Commission has approved Cityland’s request for exemption from the submission of an underwriting agreement for the offer.