MANILA, Philippines — DoubleDragon Corp., the listed developer chaired by Edgar “Injap” Sia II, has commenced its retail bond offering which has been priced at eight percent per annum.
DoubleDragon intends to raise as much as P10 billion from the offering which will run from Nov. 11 to 20.
The bonds will be listed on the Philippine Dealing & Exchange Corp. on Nov. 27.
“We are glad to tap the peso retail bond market again to capture an even wider stakeholder base into DoubleDragon’s ecosystem,” Sia said.
“We believe that the pricing of this DoubleDragon retail bond offering at eight percent will enable a wide range of people to avail of the good coupon rate for a Triple A rated retail bond and given the minimum investment size of only P50,000. On top of that, number eight is also believed by many to be auspicious or buenas, hence Otso-Buenas,” he said.
Last Friday, DoubleDragon received from the Securities and Exchange Commission the fixed rate retail bonds order of registration and permit to sell in relation to the offering.
The company’s proposed bond issue has likewise been assigned an Issue Credit Rating of PRS Aaa by te Philippine Rating Services Corp.
The bond offering is the first tranche of the company’s multi-year P30 billion shelf registration retail bonds program.
According to DoubleDragon, the 5.5-year retail bond offering is expected to be the very last eight-percent peso retail bond offering of the company over the long term.
“I personally believe that 2024 could be the very last year in my entrepreneurial journey that the retail public can participate with a retail bond priced at eight percent coupon rate given that not only that DoubleDragon is nearing the bluechip level of balance sheet but also the global high interest cycle has already started to shift to downward interest rate cycle,” Sia said.
DoubleDragon expects its total equity to exceed P100 billion for the first time this year, becoming one of the few companies in the country with total equity at 12 digit level.
The company’s pipeline of capital-raising issuances is intended to further boost its financial position through further increasing its cash position.