Megawide Raises P4B Through Bond Sale

0

Engineering and infrastructure giant Megawide Construction Corp. has raised 4 billion pesos through bond sales as it prepares to build new projects, including part of Metro Manila’s massive metro.

Megawide said the bonds are listed on the Philippine Dealing and Exchange Corp. Wednesday and that the offer had been well received by the investing public.

The proceeds will be used to refinance debts and partially cover capital expenditures.

“The company recently won the CP-104 contract for the 18 billion peso Metro Manila Subway System Project, together with its Japanese consortium partners, and expressed interest in participating in further other adjacent packages of the same project,” Megawide said in the statement. .

It was also in talks with unnamed parties for “the expansion of its transit-centric developments, anchored on the Parañaque Integrated Terminal Exchange, to strengthen its transportation-related land infrastructure portfolio.”

Megawide said the bonds consist of Series A notes, which will mature in 3.5 years and yield 6.9506% per annum, and Series B notes, maturing in five years with a yield of 7 .9663%.

The base offering of 3 billion pesos was also oversubscribed 2.24 times, he added.

“We are very grateful to the investors and our co-leads for once again successfully raising capital. We would also like to thank our regulators, the PDS Group and the [Securities and Exchange Commission]for paving the way for this momentous endeavor,” Megawide Chairman, President and CEO Edgar Saavedra said in the statement.

“Amidst global tension and local developments, the strong adoption of our first bonds reflects the investment community’s continued faith and confidence in Megawide’s strategic goals and long-term direction,” it said. he adds.

RCBC Capital Corp. and SB Capital Investment Corp. were hired as joint issue managers, co-leads and bookrunners.

“Megawide’s long-term growth story, anchored on its pivot to developthe central infrastructure and financial management roadmap are well suited to investors. We believe this is one of the main reasons why there has been very healthy demand and oversubscription for supply,” said Jose Luis Gomez, president and chief executive officer of RCBC Capital Corp, in the communicated.

Read more

Don’t miss the latest news and information.

Subscribe to INQUIRER PLUS to access The Philippine Daily Inquirer and over 70 titles, share up to 5 gadgets, listen to the news, download as early as 4am and share articles on social media. Call 896 6000.

For comments, complaints or inquiries, contact us.

Share.

About Author

Comments are closed.