SEC okays Ayala Life’s P5-B share offering

The Securities and Exchange Commission has approved Ayala Life Fixed Income Fund Inc.’s registration of P5-billion worth of shares consisting of 50 million shares.

The shares, which carry a par value of P100 per share, will be offered at net asset value.

They are redeemable and have the same voting right.

The offering is expected to raise P7.87 billion which the company plans to use to invest in marketable securities and instruments such treasury bills and other government securities.

The shares to be issued represent the latest increase in its authorized capital stock from P12 billion to P17 billion.

The primary investment objective of the Fund is to generate a steady stream of income through investments in a diversified portfolio composed of high-grade fixed-income investment instruments and securities.

The asset allocation of the Fund is dependent on prevailing and anticipated market conditions.

Ayala Life’s strategy is to invest in short to medium-term government securities and build up its holdings of Philippine sovereign debt paper.

The firm was earlier authorized by the SEC to sell P3-billion worth of additional common shares to the public.

Ayala Life is managed by Bank of the Philippine Island’s asset and trust management group, which manages more than P100 billion in assets.