DoubleDragon [DD 11.98 ?4.0%; 23% avgVol] [link] notified that its board approved a measure to sell up to P10 billion in a retail bond issuance, with a PhilRatings score of PRS Aaa. DD said that it expects to have more than P100 billion in total equity before the end of 2024.
MB BOTTOM-LINE: I have to admit that the press release was a little light on where this money would actually be going. I mean, considering DD’s huge Hotel101 plan I have a few logical guesses as to where they might want to put this cash to work, but I think the issue here is that I’m stuck guessing. Maybe they’re planning to do something exciting with the cash, or maybe they’re going to refinance a bunch of short-term and long-term debt to get better terms or extended maturities. It will be interesting to see what kind of interest rate these bonds will pay, but we’ll have to wait for that kind of info until a later phase in the offering.
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