ABOITIZ Equity Ventures, Inc. (AEV) is seeking regulatory approval for the issuance of P17.45 billion worth of fixed-rate retail bonds, which it plans to offer in the third quarter of the year.
In a stock exchange filing, the company said it had filed an application with the Securities and Exchange Commission (SEC) for its fixed-rate bonds inclusive of an oversubscription option.
“Subject to market conditions, the 2023 Bonds are expected to be offered to the general public during the third quarter of 2023,” the company said.
It said the bonds will be the second tranche of its P30-billion shelf-registered debt securities program, which was approved by the SEC on Nov. 22, 2022.
Last year, the company issued the first tranche of its fixed-rate retail bonds together with the final tranche of its 2019 bonds amounting to about P20 billion.
The company said the 2023 bonds will be listed with the Philippine Dealing & Exchange Corp.
AEV earlier disclosed its board’s approval of the bond issuance and delegated to its management the appointment of an issue manager, bookrunner, underwriter, and trustee.
Its management will also approve the final interest rate, offer price, tenors, and other terms and conditions of the second tranche bonds.
During the first quarter, AEV reported an attributable net income of P4.01 billion, up 1.8% from P3.98 billion in the same period last year.
AEV’s core businesses, conducted through its subsidiaries and affiliates, are grouped into five main categories: power generation, distribution, and retail electricity supply; financial services; food manufacturing; real estate; and infrastructure.
On Tuesday, its shares fell by 1.3% or 70 centavos to close at P53 each. — Adrian H. Halili