Century Properties Group raised P3B from bond issue

Century Properties Group has successfully raised P3 billion in fixed rate 2027 part of the initial tranche of a total planned issuance of  P6 billion.

The bonds were listed at the Philippine Dealing & Exchange Corp. (PDEx), the country’s fixed income exchange, yesterday, February 24, 2022.

Net proceeds would be used to partially refinance the company’s debt, in particular for bonds, issued in 2019, to fund capital expenditures for horizontal affordable housing developments, and to fund general corporate requirements.

The company has tapped China Bank Capital Corp. as the sole issue manager, sole lead underwriter, and sole bookrunner for the offer.

Last year, the company filed a registration statement with the Securities and Exchange Commission (SEC) to issue P6 billion in fixed-rate retail bonds over a period of three years. 

The debt program, shelf registered with the SEC, consists of a first tranche of P2 billion in five-year fixed rate bonds with an oversubscription option of P1 billion for a total amount of up to P3 billion for the initial tranche.

Century Properties is engaged in the development, marketing, and sale of mid- and high-rise condominiums and single-detached homes, leasing of retail and office space, and property management. As of December 31, 2020, the Company completed 32 projects.

It operates through six wholly-owned subsidiaries namely, Century Communities Corp, Century City Development Corp., Century Limitless Corp., Century Properties Management Inc., Century Destinations and Lifestyle Corp., and PHirst Park Homes Inc.

For PHirst Park Homes, Century Properties partnered with Mitsubishi Corp. which last year agreed to broaden their partnership to build more residential and non-residential projects.  

At present, the affordable housing segment has projects in Tanza, Cavite; Lipa, Batangas; San Pablo, Laguna; Pandi, Bulacan; Calamba, Laguna; Nasugbu, Batangas; Magalang, Pampanga; General Trias, Cavite; Tayabas, Quezon; and Baliwag, Bulacan. 

In all, PHirst Park Homes is essentially the Century Properties’ affordable housing segment which was born after the company diversified into other markets aside from just the higher segment brands.