Las Pinas—(PHStocks)—Vista Land & Lifescapes Inc. (PSE: VLL), the country’s leading integrated property developer, has completed its anticipated capital expenditure requirements from external funding sources for the year after successfully raising US$125 million in the offshore bond market.
“With this fund-raising, Vista Land is well positioned to achieve our targets for residential developments and commercial expansion for 2016. We are extremely pleased with our ability to successfully tap the international bond market despite all the recent market volatility. Our ability to access offshore medium term funds reflects the strong confidence that credit investors have placed in us,” said Vista Land CEO Manuel Paolo A. Villar.
The US$125 million was raised via a re-tap of Vista Land’s existing 7.375% senior unsecured bonds due June 2022, off its Medium Term Note Programme. The new funds were raised at a price of 102.000, which represents a yield of 6.979 per cent per annum. By accessing the international bond market, the company has been able to preserve appetite for future financing requirements in the local peso market.
Vista Land recently acquired Starmalls Inc. (PSE: STR), the mall development arm of the Villar family. Starmalls owns and operates 10 retail malls and two business process outsourcing (BPO) commercial centers, with a combined gross floor area of 509,385 square meters.
The funding last week marks the company’s first capital raise post acquisition of Starmalls. The proceeds will be utilized to fund the capex plans of the combined entity.
Vista Land continues to diversify its funding sources while expanding the Communicity model throughout the country. Vista Land intends to focus on the development of Communicities, integrated urban developments combining lifestyle retail, prime office space, university town, healthcare, themed residential developments and leisure components.