Conglomerate Aboitiz Equity Ventures Inc. (AEV) has raised $400 million from an offshore bond offering, partly to refinance its takeover of Singapore-based agribusiness firm Gold Coin Management Holdings Ltd.
AEV’s wholly-owned subsidiary AEV International Pte. Ltd. (AEVI) is issuing 10-year senior unsecured notes at 4.2 percent per annum following a series of investor meetings and conference calls in HongKong, Singapore and London, the conglomerate disclosed to the Philippine Stock Exchange on Friday.
The notes are unrated, payable semi-annually, and unconditionally and irrevocably guaranteed by AEV. Upon issuance, the notes will be listed on the Singapore Exchange. The settlement date for the notes is expected to be on January 16, 2020.
“Proceeds will be used for reimbursement of funding AEVI received for the Gold Coin Group acquisition, proposed offshore investments, and for general corporate purposes,” the disclosure said.
Gold Coin is engaged in the business of animal feeds manufacturing, which it carries out through various subsidiaries operating 20 feed mills situated in seven countries in the Asia-Pacific region.
The IOUs issued by AEVI are “Regulation S” securities or those that may not be offered, sold or delivered within the U.S.
HSBC Ltd. Singapore Branch, Standard Chartered Bank, DBS Bank Ltd., Mizuho Securities (Singapore) Pte. Ltd. and MUFG Securities Asia Ltd. Singapore Branch are the joint lead managers and HSBC and Standard Chartered Bank are the joint global coordinators.
BDO Capital & Investment Corp., BPI Capital Corp. and China Bank Capital Corp. act as co-managers.