Vista Land sets retail bond offering worth up to P10B

Villar family-led property developer Vista Land & Lifescapes is launching a local retail bond offering worth up to P10 billion to raise funds for expansion.

VLL has priced the fresh bond offer at 5.6992 percent a year for tenors of five years and six months, due June 2025.

The offering will run from Nov. 29 to Dec. 10 this year. The bonds are set to be issued on Dec. 18.

The bonds will be offered by VLL through China Bank Capital Corp., PNB Capital and Investment Corp. and SB Capital Investment Corp.–the joint issue managers, joint lead underwriters and joint bookrunners.

The base offer is P5 billion but the property developer has the option to upsize the offering by another P5 billion.

The P5 billion base amount of the bonds will be issued out of the remaining shelf registration of VLL, which was rendered effective by the Securities and Exchange Commission (SEC) on July 18, 2017, while oversubscription of up to P5 billion will be issued out of the P30 billion new shelf registration approved by the SEC.

VLL has been rated AAA by Credit Rating and Investors Services Philippines, Inc. (“CRISP”), while the bonds have been rated PRS Aaa by the Philippine Rating Services Corp. Both are the highest ratings assigned by PhilRatings and CRISP.

The company plans to bring to the local property market P50 billion worth of residential units this year, mostly in the low- and affordable housing segment outside Metro Manila.

VLL, a leading homebuilder and integrated property developer, intends to focus on the development of what it calls as “communicities,” referring to integrated urban developments combining lifestyle retail, prime office space, university town, healthcare, themed residential developments and leisure components.