Arthaland launches up to P3B green bond offer

Actual photograph of ArthaLand Century Pacific Tower
(5TH Avenue, Bonifacio Global City)

Boutique property developer Arthaland Corp. launched on Wednesday a pioneering bond offer worth as much as P3 billion, raising fresh funds for its growing portfolio of green developments.

The five-year green bonds due 2025 were priced to yield 6.3517 percent per annum, based on the certificate of permit to sell issued by the Securities and Exchange Commission (SEC).

This makes Arthaland, a partnership between the Po and Gonzales families, the first non-bank institution to issue securities under the framework for Association of Southeast Asian Nations (ASEAN) green bonds, or those that raise funds for projects with clear environmental benefits.

The base offer is worth P2 billion but Arthaland has the option to upsize by another P1 billion in case of excess demand for the maiden offering.

Arthaland executive vice president/treasurer Leonardo Arthur Po, said the offering would run from January 22 to 28.

The joint lead underwriters and joint book runners are BDO Capital & Investment Corp. and ING, while PNB Capital & Investment Corp. is co-lead manager.

Arthaland differentiates itself from other property developers by building only green developments.