Rockwell Land to raise P10B from bond sale
Rockwell Land Corp. hopes to secure up to P10 billion from a bond sale to build up its capital.
This follows its acquisition of a major stake in Alabang Town Center for P21.6 billion.
The property developer intends to issue a fixed-rate retail bond worth P7 billion, with an oversubscription option of up to P3 billion.
This would serve as the first tranche under the firm’s planned P20-billion shelf registration.
In a disclosure on Tuesday, Rockwell Land said that local debt watchdog Philippine Rating Services Corp. (PhilRatings) had assigned its planned bond the highest issue credit rating of PRS Aaa with a stable outlook.
A triple-A credit rating means that the company has “extremely strong capacity” to meet its financial commitments.
A stable outlook, meanwhile, means that the firm will likely keep its credit score in the next twelve months.
With about 30 years of real estate experience, the group has been focusing on the development of residential and commercial projects targeting the high-end and upper-mid markets. Its known commercial developments include Power Plant Mall in Rockwell Center Makati, retail community townshops and official buildings in the capital region.
It also has projects outside Metro Manila, such as in Pampanga, Laguna, Batangas, Cebu and Bacolod City.
Last December, Rockwell Land said it inked share purchase agreements to acquire a 74.8-percent stake in Alabang Commercial Corp. (ACC). This is the company that owns and operates the 17.5-hectare Alabang Town Center complex in Muntinlupa City.
The move is seen to significantly increase its commercial portfolio given ACC’s existing assets, adding around 137,000 square meters of gross leasable area to its retail and office footprint.
