THE Ayala Land, Inc. (ALI) announced on Wednesday that it has signed a P1-billion financing facility agreement with the Land Bank of the Philippines (LBP).
The company, in its disclosure to the Philippine Stock Exchange (PSE), said the facility will take the form “of a privately placed floating rate corporation note issued by the company, and will have a maturity of seven years with initial availment to be drawn within six months from the date of signing.”
ALI also said that the proceeds from this financing facility agreement will be used “for general corporate purposes as well as financing its capital expenditure program.”
It also stated that the LBP is the sole lender and arranger of the facility.
ALI was organized in 1988 when Ayala Corporation decided to spin off its real estate division into an independent subsidiary to enhance management focus on its real estate business.
It went public in July 1991 when its class “B” common shares were listed both in the Manila and Makati Stock Exchanges.
On September 12, 1997, the Securities and Exchange Commission (SEC) approved the declassification of ALI’s common class “A” and common class “B” shares into common shares.
ALI has organized its operations into several core businesses and support businesses. Its core businesses are composed of strategic land and bank management, residential development, shopping centers, corporate businesses, and geographic businesses.
On the other end, ALI’s support businesses consist of construction, hotels, property management, and waterworks operations. It also derives other income from its investment activities and sale of non-core assets. Philippine News Agency