Aboitiz Power to issue P10-B retail bonds

MANILA, Philippines - Aboitiz Power Corp., the power generation arm of the Aboitiz Group, will issue fixed retail bonds worth up to P10 billion, the company said in a disclosure to the Philippine Stock Exchange (PSE) yesterday.

The company is planning to offer the bonds in the third quarter of the year.

“The proceeds of the bonds will be used by Aboitiz Power to replenish working capital, partially fund ongoing projects and for other general corporate purposes,” Aboitiz Power said.

Aboitiz Power tapped BPI Capital Corp. as the lead arranger and underwriter of the retail bonds.

The bonds shall be issued in minimum denominations of P50,000 each and in multiples of P10,000 thereafter, the company also said.

Last month, officials said the company is targeting to double its power generation capacity in the Philippines to roughly 4,000 megawatts (MW) in the next five years and to expand its power business outside the country as it hopes to hitch a ride on the rapidly growing Asia Pacific regional economy.

The company currently has a capacity of about 2,300 MW. It hopes to expand this by about 2,000 MW over the next five years.