AboitizPower says P30-B bonds received highest rating from PhilRatings
ABOITIZ POWER Corp. (AboitizPower) said on Wednesday that its proposed P30-billion fixed-rate retail bonds received the highest credit rating from the Philippine Rating Services Corp. (PhilRatings).
PhilRatings issued a credit rating of PRS Aaa with a stable outlook for the offering, which consists of P20 billion worth of retail bonds, with an oversubscription option of up to P10 billion, and a tenure of up to 10 years, the company said in a regulatory filing.
The proposed issuance is the first tranche of AboitizPower’s planned P100 billion fixed-rate retail bonds.
The initial tranche consists of P20 billion, with an oversubscription option of up to P10 billion, and a tenure of up to 10 years.
PRS Aaa is the highest rating issued by PhilRatings and is given to obligations with minimal credit risk, while a stable outlook is assigned when a rating is likely to be maintained in the next 12 months.
The rating and outlook were given based on AboitizPower’s diversified portfolio with good growth prospects; highly experienced management team; healthy liquidity and ample coverage ratios; and sound capital structure.
On Tuesday, the company disclosed that it had filed a registration statement with the Securities and Exchange Commission for the planned issuance following the approval of the board of directors in February.
The first tranche of the retail bonds is expected to be issued in the second quarter of 2025. Upon issuance, the initial tranche is set to be listed on the Philippine Dealing and Exchange Corp.
AboitizPower said the proceeds from the first tranche of the retail bonds will be used to refinance corporate debts.
For the proposed offering, the company has appointed BDO Capital & Investment Corporation (BDO Capital), First Metro Investment Corporation (FMIC), and Union Bank of the Philippines (UnionBank) as joint issue managers.
It also tapped BDO Capital, FMIC, UnionBank, China Bank Capital Corp., Landbank of the Philippines, PNB Capital and Investment Corp., and Security Bank Capital Investment Corp. as joint lead underwriters and joint bookrunners.
BDO Unibank, Inc. – Trust and Investments Group serves as the trustee.
AboitizPower serves as the Aboitiz Group’s investment vehicle for power generation, distribution, and retail electricity, as well as related energy solutions.
The company aims to expand its total attributable net sellable capacity to 9,200 megawatts with an equal share of renewable and thermal capacities by 2030.
At the local bourse on Wednesday, shares in the company declined by 0.66%, closing at P37.60 apiece. — Sheldeen Joy Talavera
