ICTSI declares cash dividends of 25¢/share

Port operator International Container Terminal Services Inc. (ICTSI) has declared cash dividends of P0.25 per share, payable on Aug. 25, 2006.

In a disclosure to the Philippine Stock Exchange (PSE), ICTSI said entitled to the dividends are shareholders on record as of Aug. 18.

ICTSI recently concluded the issuance of P4.5-billion worth of floating rate notes.

Arranged by Standard Chartered Bank, the notes have maturities of five years and seven years and a floating coupon rate.

ICTSI said the notes were met with strong demand from institutional investors in the country, thus the issue size was increased from its original target of only P3 billion.

Proceeds from the issuance will be used to fund the port operator’s capital expenditure program at the Manila International Container Terminal and refinance existing debt obligations.

Other participating institutions include Equitable PCI Bank, Metrobank, Banco de Oro, Landbank, Development Bank of the Philippines, Philippine National Bank, Robinsons Savings Bank and the Insular Life Assurance Co. Ltd.

ICTSI is eyeing three or four projects in Eastern Europe, Latin America and the Middle East in line with efforts to further expand its presence overseas.

The proposed ports have a capacity of between 300,000 to one million TEUs or 20 foot equivalent units.

Aside from this, ICTSI is making additional investments in its existing port terminals abroad.

It has earmarked $26 million for the Madagascar International Container Terminal alone, $10 million to $15 million of which will be spent this year.

ICTSI sold seven of its overseas port operations in 2001 to raise funds to settle debts, and it is now trying to rebuild its foreign port operations.

Last year, ICTSI posted a net income of P1.34 billion or an increase of 17 percent from the 2004 figure.

Of this amount, 34 percent came from overseas operations.

For the period January to March this year, ICTSI reported a 41 percent jump in net profit to P375 million.

Foreign operations contributed 53 percent to total.