Tanduay sells P5-billion bonds

Tanduay Distillers Inc. has sold P5 billion worth of fixed-rate bonds, which it will use to fund operations and refinance debt. The company's parent, Lucio Tan-led Tanduay Holdings Inc., told the Philippine Stock Exchange on Wednesday the bond sale was completed on Feb. 12 and will have a tenor of five years. Credit Rating and Investors Services Philippines, Inc. earlier gave the bonds the highest rating of AAA, citing the firm's "strongest capacity to repay debt obligations and very low probability of default." The debt rater cited the strong Tanduay brand equity and solid operation and performance as shown by a more than 10-percent rise in net income in the last five years Tanduay produces distilled spirits in the Philippines and is the second biggest rum producer in the world, after Bacardi of Puerto Rico. The brand commands over 95% of domestic rum sales and controls 39% of the total market for distilled spirits. — NPA, GMANews.TV