Manila Water eyes green bonds
The Ayala group’s utility firm recently established a sustainable financing framework with DNV GL, a Norway-based international accredited registrar and classification society
Manila Water is planning to issue US dollar-denominated senior unsecured notes which can qualify as International Capital Market Association (ICMA) and Association of Southeast Asian Nation (ASEAN) sustainability bonds.
Sustainability bonds are dedicated to funding green and social projects.
The Ayala group’s utility firm recently established a sustainable financing framework with DNV GL, a Norway-based international accredited registrar and classification society, providing a second party opinion.
Debt refinancing fund
Net proceeds from the issue of the notes are intended to refinance debt and finance programmed capital expenditure for 2020-2021, pursuant to the sustainable financing framework.
Projects to be funded are related to the sustainable water and wastewater management, terrestrial and aquatic biodiversity conservation and affordable basic infrastructure.
2018 bond principles
The sustainable financing framework is aligned with the Green Bond Principles 2018 and Social Bond Principles 2018. In addition, the framework complies with the ASEAN sustainability bond standards and a Securities and Exchange Commission (SEC) memorandum circular.
BPI Capital Corp., Citigroup Global Markets Singapore Pte. Ltd., Credit Suisse (Singapore) Limited, The Hongkong and Shanghai Banking Corp. Ltd, Singapore Branch, Mizuho Securities (Singapore) Pte. Ltd. and UBS AG Singapore Branch have been mandated as joint lead managers and joint bookrunners for the transaction.