Metro Pacific toll road unit eyes P20-B debt sale
Metro Pacific Tollways Corp. (MPTC) is targeting to raise up to P20 billion from a proposed bond issuance to back ongoing expressway investments.
In a statement on Monday, the company said it had filed a registration statement with the Securities and Exchange Commission for its plan to sell up to P15 billion worth of fixed-rated bonds, with an oversubscription option of up to P5 billion.
These will be issued in three series with terms of three, five or 10 years.
The public offer period is eyed to run from Nov. 17 to Nov. 21 of this year.
They will be listed on the Philippine Dealing & Exchange Corp. by Dec. 2.
MPTC said that the proceeds would fund the construction and asset maintenance of the Manila-Cavite Expressway, Cavite-Laguna Expressway and Lapu-Lapu Expressway.
The fresh capital will likewise allow the group to refinance bridge loan facilities and support general corporate purposes.
“This bond issuance aims to bolster MPTC’s fiscal position while ensuring the capital adequacy to support continued infrastructure investment and operational excellence,” said Gilbert Santa Maria, president and chief executive officer of MPTC.
BPI Capital Corp. and First Metro Investment Corp. are the joint issue managers. Acting as joint lead underwriters and joint bookrunners for the offer are BDO Capital & Investment Corp., China Bank Capital Corp., PNB Capital and Investment Corp. and Security Bank Capital Investment Corp.
Late last month, the proposed bond issuance secured PRS Aaa with a stable outlook rating from the Philippine Ratings Services Corp.
A triple-A credit rating, the highest score the Philippine Rating Services Corp. could assign to a firm, shows that the group has “extremely strong capacity” to meet its financial commitments.
A stable outlook, meanwhile, means that it will likely keep its credit score in the next twelve months.
Aside from the three expressway developments, MPTC also operates the North Luzon Expressway, Subic-Clark-Tarlac Expressway, Cebu-Cordova Link Expressway, and the NLEx Connector.
It also has investments in Vietnam and Indonesia.
