PLDT Inc. announced Wednesday, June 17, 2020, that it had successfully set the terms of a US dollar-denominated long 10-year and 30-year dual-tranche offering at an aggregate principal amount of US$600 million with a fixed coupon of 2.500 percent and 3.450 percent, respectively, payable semiannually.
The issuer is rated BBB+ stable by S&P, Baa2 stable by Moody’s and BBB stable by Fitch. The notes are rated BBB+ by S&P. The bonds were priced at T+180 and T+195 with a re-offer yield of 2.566 percent and 3.495 percent.
The final order book was 17 times over-subscribed with the order book allocated predominantly to Asia, and the balance to Europe, reflecting the strong confidence investors have in the PLDT credit.
Upon issuance, the net proceeds from the bonds will be used to refinance the Issuer’s maturing debt obligations in the second half of 2020 and 2021 and prepay outstanding loans and partially finance capital expenditures.
Credit Suisse (Singapore) Limited and UBS AG Singapore Branch are the joint lead managers and joint bookrunners for the transaction. Latham & Watkins, LLP and Picazo Buyco Tan Fider & Santos acted as issuer counsel; Milbank LLP and SyCip Salazar Hernandez & Gatmaitan acted as underwriters’ counsel for the transaction (PR)