Filinvest Land completes P3B fundraising

Gotianun-led property developer Filinvest Land Inc. has completed a P3-billion fundraising through the sale of five-year fixed rate retail bonds.

FLI announced on Thursday that the bond offer was more than two times oversubscribed. It carried a yield of 6.1962 percent per year.

Proceeds from the bonds will partially finance FLI’s capital expenditure for this year. It earlier disclosed that its capex budget for 2011 is P12 billion, more than double the spending last year.

The company plans to sell more than 14,000 residential units this year, almost double the units launched in 2010. This entails the rollout of 17 new projects and 24 additional phases of existing projects. FLI also plans to put up two new office buildings and a chain of affordable hotels.

Unicapital Inc. served as the issue manager and underwriter for the bond issue. The selling agent was East West Banking Corp., the Gotianuns’ banking arm.

The FLI bonds were issued in minimum denominations of P50,000 each and in multiples of P10,000 thereafter.

Local credit watcher Philippine Rating Services Corp. assigned the highest rating of PRS Aaa to FLI’s bonds.