By Cris Larano
MANILA--Philippine property developer Megaworld Corp. (MEG.PH)
raised $250 million from a 10-year U.S. dollar-denominated
fixed-rate bond that was priced at 4.25%, sole bookrunner UBS AG
(UBS) said Thursday.
UBS said in a statement that the initial guidance was
4.25%-4.50% but was tightened to "the lowest-ever yield for a
10-year Philippine corporate bond." It said the yield was 1.25
percentage points above 10-year Philippines dollar-denominated
government bonds and 2.45 percentage points above similar-dated
U.S. treasurys.
Megaworld has said that it will use the proceeds from the bond
sale for general purposes. The company said in January that it
planned to spend a record 35 billion Philippine pesos ($854
million) this year on projects, primarily residential.
UBS said the orderbook for Megaworld's bond offer was "over $500
million" as more than 40 investors, including fund managers, banks
and insurance firms, participated in the fund-raising exercise
Wednesday.
Megaworld's bond due 2023 will be listed on the Singapore Stock
Exchange.
Write to Cris Larano at cris.larano@dowjones.com
