FLI secures P12B from latest debt market stop
Gotianun-led Filinvest Land Inc. (FLI) raised P12 billion from its debt market return as it seeks to expand all its business units amid improving economic conditions.
The issuance consists of five-year bonds with an interest rate of 6.2916 percent, seven-year bonds at 6.6550 percent and 10-year bonds at 6.8312 percent per year. These were listed on the Philippine Dealing and Exchange Corp. on Wednesday and represent the second tranche of FLI’s P35-billion shelf registration program approved in 2023.
Tristan Las Marias, FLI president and CEO, said proceeds would be used to bankroll the expansion of its retail, residential and industrial businesses.
According to Las Marias, they will launch a 24,000-square-meter (sq m) Filinvest Mall within the Filinvest Mimosa Estate in Clark, Pampanga province by next year.
Filinvest Mall Clark will host mostly athleisure brands and Manila and Pampanga dining options.
Additionally, FLI will use part of the funds raised to develop another mall in Activa Cubao in Quezon City spanning 17,000 sq m with a supermarket, 48 food spaces and 150 retail shops.
Las Marias said they would also develop more “industrial-ready” factories or warehouses.
The developer is likewise eyeing new residential projects in the provinces of Cavite, Bulacan and Bataan, although FLI has yet to disclose the development timeline.
“We aim to sustain our growth trajectory in the residential segment in 2025 and beyond,” Las Marias said.
‘Overwhelming response’
“The overwhelming response to FLI’s fixed-rate retail bond offering is a clear testament to the confidence the investing public has placed in our company’s prospects and economic outlook,” he added.
Las Marias previously told reporters that FLI’s properties were less likely to be impacted by inventory oversupply woes, as these were mostly located outside Metro Manila.
The company currently has condominium projects in the National Capital Region and residential communities in Davao, Cebu, Cagayan de Oro and Palawan, among others.
In the first nine months of 2024, higher residential sales and mall rentals lifted the earnings of FLI, Filinvest Alabang and Filinvest REIT Corp. by 27 percent to P21.8 billion.
