CREIT Lists Asean Green Bond Offering At PDEx

Citicore Energy REIT Corp. (CREIT) has officially listed its maiden P4.5-billion Asean Green Bond offering at the Philippine Dealing and Exchange Corp. (PDEx).

Photo Insert: Proceeds from the offering will be used to acquire value-accretive properties to grow CREIT's green asset portfolio.

The issuance was oversubscribed with the P1.5-billion oversubscription option fully taken up during the offer period, which ran from January 30 to Feb. 3, 2023.

"This listing marks our second capital-raising activity in just 12 months following our initial public offering almost a year ago. We are very grateful for the investment community's continued favorable reception and the support of our joint lead underwriters, regulators and participants," Oliver Tan, Citicore Energy REIT president and chief executive officer, said.

The bonds bear a coupon rate of 7.0543 percent and will mature on Feb. 10, 2028. CREIT and the green bonds had earlier received a rating of PRS Aa+ with stable outlook from Philippine Rating Services Corp., meaning it has a strong capacity to meet its financial obligation.

Proceeds from the offering will be used to acquire value-accretive properties to grow CREIT's green asset portfolio, which are expected to raise the firm's landholdings by almost four times, from the current 2 million square meters to 7 million square meters.

The land parcels will then be leased out to solar power generators and operators that will construct three utility-scale solar plants with a total projected generation capacity of 269-megawatt direct current and form part of the expansion pipeline of Citicore Energy REIT's sponsor, Citicore Renewable Energy Corp.

SB Capital Investment Corp. and PNB Capital and Investment Corp. were the transaction's joint local underwriters, issue managers, bookrunners and selling agents, with Security Bank Corp.-Trust and Asset Management Group acting as the trustee.

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