ENERGY DEVELOPMENT CORP., the country?s leading producer of geothermal energy, is offering up to P12 billion worth of fixed rate bonds to raise funds for the refinancing of its outstanding loans.

In a paid ad Thursday, EDC said it would issue P10 billion worth of bonds, with an oversubscription allowance of P2 billion. This was higher than the company?s initial target bond offering of P6 billion with an oversubscription option of P4 billion.

EDC said its five-and-a-half- year bonds, which will mature on June 4, 2015, carried an interest of 8.6418 percent, while its seven-year bonds, maturing on Dec. 4, 2016, carried an interest of 9.3327 percent.

According to the Lopez-led firm, the offer started on Wednesday (Nov. 18) and will end on Nov. 26. The minimum investment was set at P20,000 and in increments of P10,000 thereafter.

Joint lead underwriters for the fixed rate retail bond issuance were BDO Capital and Investment Corp., RCBC, BPI Capital and SB Capital Investment Corp., the company added.

EDC earlier said it was confident that investors would respond positively to its issuance, after securing a Triple-A rating from Philratings.

?Getting the highest possible corporate credit rating affirms EDC?s good credit standing and excellent fiscal management,? said EDC president Richard Tantoco.

Proceeds from the issuance would be used to partially refinance or ?redenominate? EDC?s outstanding foreign currency-denominated loans and for general corporate purposes.

Under its near-term refinancing plan, EDC targets to raise P30 billion. It had earlier raised P9 billion from a peso-denominated private placement, while another P8 billion will come in the form of internally generated cash.