DoubleDragon Corp. said Thursday it plans to issue up to P5 billion worth of fixed-rate bonds in November 2024.
DoubleDragon said in a disclosure to the stock exchange it filed an application with the Securities and Exchange Commission for the issuance of the first tranche of retail bond offering from the company’s P30-billion bond shelf registration program.
The bonds will have a base offer of P5 billion and another P5 billion to cover oversubscription.
The bonds, named Year-End Otso Buenas will have a tenor of 5.5 years and an expected interest rate of 8 percent, with a minimum denomination of P50,000.
The issuance follows DoubleDragon’s successful P10-billion bond offering in the third quarter of 2024, which was oversubscribed by retail investors nationwide.
“We aim to end this 2024 Year of the Dragon with this offering to provide wider access for retail investors,” said DoubleDragon chairman Edgar Sia II.
“This offering also paves the way to accommodate the overflow of retail investors who was not able to participate in the recent DD OTSO-OTSO retail bonds. The wider the stakeholders of DoubleDragon, the more meaningful impact we create to our society,” he said.
Philippine Rating Services Corp. assigned a PRS Aaa (Triple-A) rating to this bond issuance, indicating high credit quality.
DoubleDragon said the capital-raising activity aims to boost its financial position and support its growth.
The company plans to become a Tier-1 mature company by 2025, with total equity projected to exceed P100 billion for the first time in 2024.
DoubleDragon’s portfolio includes over 1.3 million square meters of completed gross floor area across the Philippines.
The company is also developing its Hotel101 brand, which is expected to generate significant foreign currency revenues.
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