FILINVEST LAND INC. of the Gotianun group on Monday will start offering three- and five-year retail bonds worth up to P5 billion, hoping to take advantage of ample domestic liquidity to boost funds for capital spending.

The bonds were set at the lower end of the price guidance based on bids from qualified institutional investors and underwriters.

The three-year bonds will have an interest of 7.52 percent per annum, while the 5-year bonds will yield 8.46 percent a year, FLI said in its disclosure to the Philippine Stock Exchange yesterday.

Joint lead managers and underwriters for the bonds are BDO Capital & Investment Corp., BPI Capital Corp. and First Metro Investment Corp. China Banking Corp. and RCBC Capital Corp. are co-lead underwriters.

The offer period will start on Nov. 9 and will end on Nov. 13. The issue date is set on Nov. 19.

The Securities and Exchange Commission approved FLI?s issuance and issued yesterday the certificate of permit to sell up to P5 billion in fixed rate bonds.

The bonds will be issued in minimum denominations of P50,000 each, and in integral multiples of P10,000 thereafter. It will be listed on the fixed-income exchange or the Philippine Dealing & Exchange Corp. (PDEx) to allow trading of the instruments in the secondary market.

Debt watcher Philippine Rating Services Corp. (Philratings) has assigned the highest rating of PRS Aaa to FLI's proposed fixed-rate bonds. Issues rated PRS Aaa are deemed ?of the highest quality with minimal credit risk.? Also, the obligor?s capacity to meet its financial commitment on the obligation is viewed as ?extremely strong.?

FLI?s issued received the highest classification from Philratings due to its improving net cash, its diversified portfolio, steady business as enhanced by its focus on the mass market housing segment, steady growth in its real estate and leasing operations, sound debt position and strong financial flexibility, and favorable industry conditions.