Philippine Long Distance Telephone (PLDT) said that it and its wholly owned subsidiary Smart Communications have each raised PHP2.5bn (US$53.9m) through the issue of notes.
Both PLDT and Smart have issued 5-year fixed rate notes with a group of…
Philippine Long Distance Telephone (PLDT) said that it and its wholly owned subsidiary Smart Communications have each raised PHP2.5bn (US$53.9m) through the issue of notes.
Both PLDT and Smart have issued 5-year fixed rate notes with a group of institutional investors subscribing to them.
First Metro Investment Corporation acted as the arranger and bookrunner for both deals, the proceeds of which will be used to finance capex and to refinance existing debt.
Both sets of notes achieved a credit spread of 30bp over the 5-year benchmark rate and pay a fixed yield of 6.8615%.
The overall demand for the facilities reached PHP12bn but the companies opted not to extend the facilities further.
“The high credit quality of these companies and the precise timing of the issuances enabled the notes to be priced at the lowest end of the range. The closing of these two debt deals in record time of eight business days, is a testament to the strength of the names of PLDT and Smart and a success by any measure,” said Roberto Juanchito T. Dispo, executive vice-president of First Metro.
