Strong demand for its maiden bond issuance has prompted Toyota Financial Services Philippines Corp. (TFSPH) to shorten the offer period of its maiden bond issuance.
The automotive financing and leasing arm of conglomerate GT Capital Holdings Inc. said that it decided to cut short and close on the second day of the offer period for its P2 billion maiden bond public offering due to strong investor demand from both institutional and retail clients.
The offer period was originally set to run from Oct. 6 to 13.
TFSPH’s maiden bond offering will be issued in up to two series comprised of two-year bonds due 2027 (Series A bonds) and three-year bonds due 2028 (Series B bonds).
The Series A Bonds and Series B Bonds will carry a fixed interest rate of 5.7725 percent and 5.9418 percent, respectively, with issue and listing date scheduled on Oct. 21.
Proceeds will be used by the company to further diversify its funding sources and support its anticipated asset growth.
It will also enable the TFSPH to tap a wider investor base, targeting both institutional and individual investors.
First Metro Investment Corp. and ING Bank N.V., Manila Branch acted as the joint lead arrangers and bookrunners for the transaction and are also the selling agents together with Metropolitan Bank and Trust Co. and BPI Capital Corp.
TFSPH, which is 40 percent owned by GT Capital and 60 percent owned by Japan-based Toyota Financial Services Corp., is the exclusive provider of Toyota-branded financial solutions in the Philippines.
It offers retail and leasing products to customers as well as inventory financing to dealers nationwide.