Property developer Robinsons Land Corp. has set the final interest rates for the P12-billion bond offering slated this month.
The company said the seven-year bonds maturing in 2022 would carry an interest rate of 4.8 percent per annum, while the 10-year bonds maturing in 2025 would have an interest rate of 4.9344 percent a year.
The company started selling the bonds Monday, with the offering lasting until Feb. 13.
“The bond sale in ongoing,” Robinsons Land senior vice president Bach Johann Sebastian said in a mobile message. Listing date was set on Feb. 23.
Robinsons Land said proceeds from the fund raising activity would be used to finance maturing obligations and partially fund the P17-billion programmed capital spending for fiscal year 2015.
Robinsons Land said it would pay P8.1 billion worth of short-term loans via the bond sale while the balance of P3.9 billion would be used to fund capital expenditures.
It said of the P17 billion spending for the year, 66 percent would be allocated for construction of shopping malls, office buildings and hotels; 23 percent for the residential division; and the remaining 11 percent for land acquisitions.