Ayala Land to raise P10B through fixed rate ‘callable’ bonds

MANILA, Philippines —Property giant Ayala Land Inc. plans to raise as much as P10 billion from the sale of multi-year “callable” bonds.

In a registration statement filed with the Securities and Exchange Commission, ALI plans to issue seven and 10-year fixed rate “callable” bonds.

The bonds maturing 2019 and 2022 will be issued in scripless form in denominations of P50,000 each, based on the documents.

These securities are “callable” because prior to the respective maturity dates of the bonds, ALI has the right but not the obligation to redeem in whole but not in part the bonds.  The seven-year bonds will carry a one-time call option during the fifth year while the call option for the 10-year bonds will be on the seventh year.

ALI intends to list the bonds in the local fixed income exchange Philippine Dealing & Exchange Corp.

Proceeds will be used by ALI to fund general working requirements.