Php 7 Billion Bond Offer
NLEX Corporation, formerly MNTC, made its maiden retail-bond listing at the Philippine Dealing and Exchange Corporation (PDEx) with the issuance of Php 7 billion aggregate principal amount of fixed rate bonds on March 31, 2014. The bonds were divided into two tranches: seven- and ten-year fixed rate securities due in 2021 and 2024, respectively.
A total of Php4.4 billion was allocated to the seven-year tranche which has a coupon rate of 5.07% per annum, and the remaining Php 2.6 billion are the ten-year bond with a 5.5% annual rate.
To invest in NLEX Corporation bonds, investors may contact any of the market makers, namely: BDO Unibank Inc. and First Metro Investment Corporation, or through any of the general broker specialists of PDEx for listed corporate securities.
|ISSUER||ISSUE||SERIES CODE||ISSUER TYPE||OUTSTANDING ISSUE AMOUNT
|COUPON RATE||ISSUE DATE||MATURITY DATE|
|MNTC||Fixed Rate Bonds due 2021||MNTC 21 R19||Corporate||4.40||5.0700%||31 Mar 2014||31 Mar 2021|
|MNTC||Fixed Rate Bonds due 2024||MNTC 24 R21||Corporate||2.60||5.5000%||31 Mar 2014||31 Mar 2024|
Net proceeds of the offer will be used to partially fund the 5.65 km Segment 10 of the NLEX Project which will connect the MacArthur Highway in Valenzuela City to C-3 Road in Caloocan City.
The bonds have been rated PRS Aaa by the Philippine Ratings Services Corporation — the highest rating assigned by the company. Obligations rated PRS Aaa are of the highest quality with the minimal credit risk and reflects the obligor’s extremely strong capacity to meet its financial commitment.