Ayala Land spending ‘may’ hit P100B in 2018

PROPERTY giant Ayala Land, Inc. (ALI) said on Thursday that its capital expenditure (capex) next year may reach P100 billion as the company continues with its expansion plans.

“Our capex [for 2018] should be bigger than this year judging with the kind of activity we have this - gusto Bengzon told reporters on the sidelines of the company’s issuance of short-dated notes in Makati City.

“Historically we’ve not reached P100 [billion] but it is possible. We see,” he said. “If we see that the opportunities are there…”

For this year, ALI is on track to hit its targeted capital spending of P88 billion as more project launches are expected for the remainder of 2017.

The company said it is seeing a pick-up in sales for the fourth quarter as overseas Filipino workers—who are seen as one of the key drivers of the real estate market—are expected to be home for the Yuletide season.

“We are on track to launching P90 billion of residential projects. Overall, if you include leasing, [we will] probably launch maybe P120 billion,” Bengzon added.

“Next year, we’ll see if the economy continues to be as strong as it is. And [if] demand is there, we will keep up.”

P3-B short- dated notes

ALI issued P3.1 billion worth of short- term notes on Thursday, with the proceeds primarily to be

“This short-dated note is primar What the team has created here is a short-dated note, an alternative listed instrument,” Bengzon said.

- case this is going out to an insurance company, a trust corporation, and two of the largest UITF [unit investment trust fund]. So we are tapping a new exclusive, new investor base of

The short-dated notes are the second tranche of its P50 billion shelf registration program. The billion, was issued in July 2017.

“We are refinancing short-term debt, so essentially we have 30-, 60-, 90-day promissory notes. So with this instrument we’re now extending the dated note we issued in July was 21 months. This one is a 15-month instrument,” Bengzon said.

“For this year, we’re pretty much completed with our capital market issuances,” he noted.

So far, the company has been able to raise P7.4 billion from the shelf registration.