PH firms buy back debt

Some Philippine corporations will be buying back debt notes ahead of maturity as part of debt management efforts.

VLL International Inc., a unit of the Villar family’s Vista Land & Lifescapes, announced an offer to redeem debt notes collectively worth $450 million due in 2018 and 2019.

Rizal Commercial Banking Corp. of the Yuchengco group said in a separate disclosure to the Philippine Stock Exchange that it had obtained the approval of the Bangko Sentral ng Pilipinas to redeem $100 million worth of perpetual securities.

In the case of Vista Land, its board had approved an invitation by VLL International to holders of the outstanding $350 million worth of 7.45-percent guaranteed notes due in 2019, and $100 million worth of 6.75-percent guaranteed notes due in 2018.

The notes are guaranteed by VLL and other subsidiary guarantors.

VLL also appointed The Hong Kong and Shanghai Banking Corp. Ltd. (HSBC) and DBS Bank Ltd. as joint dealer managers and lead managers. HSBC was also named sole structuring advisor.

DF King Worldwide has been appointed information and tender agent.

The board of VLL also approved the establishment of a medium term note program.

Under the framework, VLL International may from time to time issue notes, the terms and conditions of which must be approved by management.

RCBC, on the other hand, will redeem $100 million worth of 9.875-percent perpetual securities by July 24, 2015.