STI Education Services Group Inc., the operator of one of the country’s biggest chains of private schools, successfully raised P3 billion from the issuance of fixed rate bonds.
The P3-billion, seven and 10-year bonds, which will be listed with Philippine Dealing & Exchange Corp. today, is the company’s maiden peso bond offering.
It was part of the P5-billion shelf bond offering earlier approved by the Securities and Exchange Commission. Proceeds from the bond offering will be used to partially finance the construction of new schools across the country.
STI ESG said it planned to spend P6.13 billion over the next 18 months to finance construction of new schools and acquire properties for future expansion.
The company is currently building a new school in San Jose del Monte, Bulacan. It also plans to construct new campuses for existing schools in Davao, Cagayan de Oro, San Pablo, Iloilo and Baguio.
ChinaBank Capital and First Metro Investments Corp. are the joint issue managers and underwriters for the offering.