Converge ICT Solutions Inc. said Tuesday it secured an approval from the Securities and Exchange Commission to offer and sell its first P10-billion fixed-rate bonds under its P20-billion shelf-registration program.
Converge said it received the certificate of permit to offer securities for sale for its maiden bond offering amounting to P5 billion on the base tranche, with an oversubscription option for another P5 billion.
The offer period is slated on March 28 to April 1, 2022. The bonds were priced at 50 basis points over Philippine 5 Year BVAL rates, at the tight end of the marketed 50-100bps range.
“We are pleased to be able to tap the bond market to help fund the expansion of our digital infrastructure as we further widen our reach nationwide” Converge president and co-founder Grace Uy said.
The proceeds will be used for capital expenditures related to the expansion of its nationwide fiber network, including in the Visayas and Mindanao.