Ayala Land rakes in close to P1 billion in sales from 'Homestarter' bonds

Ayala Land Inc. has generated close to P1 billion in its five issuances of "Homestarter" bonds, an interest-earning instrument that requires a lump sum to investment on the part of buyers. “Since we issued the bonds, it has generated close to P1 billion in total sales for ALI, which is a positive indication that people are encouraged to save through the program," said executive vice president and chief operating officer Bobby Dy. About 25 percent of the amount came from upscale subsidiary Ayala Land Premier, 50 percent from urban developer Alveo Land, and a little less than 25 percent from affordable housing unit Avida Land, ALI corporate treasurer Augusto Bengzon told reporters in a press briefing Friday. Launched on Friday, its latest bond issuance worth P2 billion carry a fixed rate of 4 percent a year and is twice the size of the P1 billion bond float last year. The bonds can be bought at a mimimun lot of P50,000, to a maximum of P5 million. "This is not a primary fund-raising for Ayala Land. This is a tool for our potential buyers to enable them to buy our Ayala Land property," said Bengzon. The bonds are intended for "retail investors" but not to "attract institutional investors of financial institutions," added Dy. — VS, GMA News