Macau firm in chromite mine

A Macau-based company yesterday signed a -million investment in a chromite mining project on the southern Philippines island of Dinagat, President Gloria Arroyo’s office said. Macao Quanta Mining Co. is to invest the money over five years and exclusively market the metal ore extracted by its local-based partners from the 648-hectare site over the next 10 years, according to the agreement released by the presidential palace. A local partner, Oriental Synergy Mining Corp., is to manage the mine owned by a cooperative of residents who hold a 1992 mineral production sharing agreement with the national government. The cooperative is guaranteed a fixed rate of eight dollars for every tonne of chromite extracted and sold.

NDC to float P20-B bonds

The National Development Company plans to issue around R20 billion worth of bonds this year, Finance Secretary Margarito Teves said yesterday. Proceeds from the planned R20-billion bond float will be used to help prime the economy, Teves said as part of a televised broadcast by President Gloria Macapagal Arroyo and her administration. "Hopefully, during the first six months, we can generate around R10 billion," Teves said. The government plans to spend an estimated total of R35 billion to boost the economy, Arroyo said. The funds will come from R20 billion worth of savings in the 2005 budget, local government funds and the NDC bond float, she said. Among the projects to be funded are roads and irrigation works to open around 2 million hectares of new land for agriculture.

NutriAsia gets 84.5% of DMPL

SINGAPORE (XFN-Asia) — NutriAsia Pacific Ltd, a joint venture of San Miguel Corp., (SMC) and the Campos group of the Philippines, controlled 84.52 percent of Singapore-listed Del Monte Pacific Ltd when its offer closed on Friday. In a disclosure to the exchange here over the weekend, Del Monte said NutriAsia received valid acceptances for a total of 376.12 million shares or 34. 77 percent of the issued and paid-up share capital of Del Monte at the close of its takeover bid. In December, NutriAsia launched a general offer to shareholders of Del Monte after buying a 49.76 percent stake in the company for 6.5 million. NutriAsia offered to buy the shares in Del Monte that it did not already own for {{MB:DR(ARTICLE:CONTENT):MB}}.3862 a share.

SMC confirms fund raising

Food and beverage conglomerate San Miguel Corp. yesterday confirmed it is putting together a fund raising plan to support its operations and expansion. "The company confirms that it is currently exploring various alternatives to raise funds for the San Miguel group. However, no decision has been made yet on the alternatives to be pursued. Proceeds of any such fund raising exercise shall be utilized for general corporate purposes and acquisitions," said San Miguel in a disclosure to the stock exchange. San Miguel issued the statement after the bourse sought the company’s clarification nor reports last week that it plans to raise 0 million through an overseas bond offer in the coming weeks. The newspaper reports said proceeds from the bond issue will partly refinance a bridge loan facility that San Miguel secured last year to fund its acquisition of National Foods Ltd. of Australia.

Terms of FLI bonds amended

Filinvest Land Inc. and its parent Filinvest Development Corp. yesterday executed amendments to the terms and conditions of the P1.2 billion five-year convertible bonds issued in 2002 by Filinvest Land. In separate disclosures to the stock exchange, the two companies said the amendments consists of the extension of the maturity of the bonds to December 2010 from February 2007, the adjustment of the interest accruing on the bonds and the corresponding interest payment date, and the removal of Filinvest Land’s obligation to pay a redemption premium. Filinvest Land First Vice President Fely Ramos earlier said that the interest-rate cost of the bonds was originally at 10 percent, plus a premium of 9 percent if the bondholders don’t convert the bonds into common shares, making the original total carrying cost 19 percent. With the amendments, it has been reduced to a 12 percent fixed rate for five years, said Ramos. "These amendments will result in the reduction of the financial cost of FLI (Filinvest Land). The maturing extension in particular will allow FLI to allocate more funds for its expansion projects," said the two companies’ separate disclosures. Ramos earlier said Filin-vest Land had earmarked P1.4 billion in capital spending this year, as it plans to launch 12 new projects, mostly housing developments. Filinvest Development redeemed the convertible bonds from Reco Grandhomes Pte. Ltd. The bonds were convertible to shares of Filinvest Land, but are subject to redemption any time without penalty.