Filinvest Land readies P12-B bond offer

MANILA  -The Gotianun family’s property giant Filinvest Land Inc. is preparing a series of bond sales to seize new expansion opportunities as it approves the first debt offering worth P12 billion.

In a stock exchange filing on Friday, Filinvest Land said its executive committee approved a plan to sell peso-denominated fixed-rate bonds worth P10 billion plus an oversubscription option for another P2 billion.

The bonds will have a fixed-term of 3.5 years meaning these will fall due in 2027.

The developer said this will serve as the first tranche of a proposed long-term bond program worth as much as P35 billion. The board approved the shelf registration proposal last July 19.

“The executive committee of the company has further authorized the management to evaluate all aspects relating to the proposed offering of the bonds, including the determination of the timing thereof,” Filinvest Land said.

One of the country’s top property companies, Filinvest Land’s portfolio spans residences, malls, office buildings and hotels.

The Gotianun Group remains bullish on property and hospitality for the year as it allocates roughly half of its P35-billion capital spending program on these segments.

Meanwhile, Filinvest Land saw its business bounce higher in the first semester of the year as net income rose 15 percent to about P1.4 billion.

READ: Filinvest Land records 15% income growth in 1H2023

Total revenue also gained 8 percent to nearly P10 billion, a separate filing showed.

Its residential segment saw revenues climb 4 percent to P6 billion while reservation sales, an indicator of future revenues, jumped 21 percent to P11 billion.

During the first half of the year, the builder launched P4.56 billion worth of residential projects in Rizal, Laguna, Davao, Pangasinan, South Cotabato, and Zamboanga.