DoubleDragon to Issue P10.9-Billion Bonds
DoubleDragon Corp. (DD) has announced its plan to raise up to P10.9 billion through a new retail bond offering scheduled for next month. The company aims to attract investors by offering a competitive 7.7% interest rate, with the bonds having two maturity options: 3.5 years and 5.5 years. This issuance is part of a larger bond program approved by the Securities and Exchange Commission last year. A key highlight of the offering is the bonds’ exceptional credit rating, having secured the highest possible rating of PRS Aaa from the Philippine Rating Services Corp. This top-tier rating signifies that the company has a “very strong” capacity to meet its financial obligations, instilling confidence in potential investors. The timing of the issuance is also strategic, as DoubleDragon aims to be the only bond offering in the market during the September 2025 issuance window.
Strengthening Financial Position and Key Projects
DoubleDragon’s strategic growth is evident in its continuously expanding portfolio and its key partnerships. The company recently celebrated a milestone, with its total gross floor area reaching 1.5 million square meters following the completion of the five-hectare CentralHub warehouse complex in Cebu. CentralHub is a crucial joint venture between DoubleDragon and Jollibee Foods Corp., highlighting the company’s ability to forge powerful alliances to accelerate its development. The company’s shares reflected this positive momentum, improving by 3.57% or 33 centavos to P9.58 per share. This positive stock performance on Tuesday underscores investor confidence in the company’s strategic direction, which is focused on building a durable and diversified real estate portfolio that can generate long-term value and contribute to the country’s economic growth.
Expansive Portfolio and Strategic Partnerships
The planned bond issuance is supported by DoubleDragon’s robust financial position and its focus on developing a diversified hard asset portfolio. The company’s total equity now stands at an impressive P102 billion, with a healthy net debt-to-equity ratio of just 0.87x. A key driver of this stability is the company’s expansion into hospitality through its Hotel101 condotel chain, which is being positioned as a major generator of dollar inflows for the Philippine economy. A prime example is the newly unveiled 700-room Hotel101-Roxas Boulevard in Pasay City. This project is projected to generate a substantial P5.25 billion in revenue from unit sales alone. The construction of this development, situated on a 1,790-square-meter lot, is slated to begin in the latter half of the year, with an expected completion date in mid-2028.
