DoubleDragon to Set Up a P30 Billion Multi-Year Shelf Registration Retail Bonds Program

The Board of Directors of DoubleDragon Corporation has approved the setting up of a P30 Billion multi-year shelf registration Retail Bonds program intended to be issued in three (3) or more tranches in years 2024, 2025 and 2026.

DoubleDragon Corporation has recently returned to the Peso Retail Bonds market with the issuance of a total of P10 Billion (Otso-Otso) Retail Bonds which was issued in the third quarter of 2024, which was oversubscribed with the Offer’s oversubscription amount fully exercised, with a significant take up from retail investors.

DoubleDragon has chosen October 8, given that “8” has been an auspicious number related to the recently issued Retail Bonds, which have been remarkably one of the most notable issuances in the Philippines. The name ‘Dragon Year-End Bonds’ is chosen due to the intended issuance schedule at the Year-End of the Year of the Dragon 2024.

Given the current downtrend in the interest rates, the Company expects to issue these Retail Bond Offerings in at least three (3) tranches at 5 to 7 years tenor with rates expected at 8% p.a. area for 2024 issuance, 7% p.a. area for 2025 issuance and 6% p.a. area for 2026 issuance.

The pipeline capital-raising issuances at this stage of DoubleDragon’s growth is intended to further boost its financial position through further increasing its cash position. For the past ten (10) years since DoubleDragon listed in the Philippine Stock Exchange last April 2014, majority of the series of capital-raising issuances were all deployed in building up its hard asset recurring revenue portfolio from zero to now 1.3 million square meters of completed GFA (Gross Floor Area). But from 2025 onwards, these portfolio built in the past 10 years will already be all fully completed and fully built up and are expected to all start generating optimal revenues year on year, while requirements for further substantial capital expenditure will no longer be needed in the near term -- all in line with the DoubleDragon’s goal to become a Tier-1 mature company by next year 2025.

DoubleDragon's Total Equity is set to exceed P100 Billion for the first time in 2024. The Company is positioned to become one of the few companies in the Philippines with Total Equity at 12 digit level. DoubleDragon happens to be one of the very few companies that has not only positioned a diversified hard asset portfolio spread out across the Philippines, but it also happens to be one of the very few that has organically developed a novel asset-light concept and highly unique business model in Hotel101 (HBnB) that is portable and exportable to other continents globally. The export of Hotel101 is expected to eventually become one of the major US Dollar inflow generator to the Philippine economy.

DoubleDragon's string of titled investment properties strategically planted in prime locations spread out in Luzon, Visayas, Mindanao and Overseas serves as its strong underlying solid foundation.

The upcoming Hotel101 Global listing in the US to further strengthen DoubleDragon's balance sheet.

DoubleDragon’s net Debt-to-Equity ratio continued to stay at a healthy 0.69x as of June 30, 2024. At any given time, the Company expects its D/E Ratio to be very far below its D/E Ratio ceiling.

An initial 5 Billion Retail Bond Offering is intended to be offered in Q4 2024 this year which could become one of the last if not the last and only longterm retail bond offering available in the Philippines for this year 2024 at an expected attractive est. rate of 8% p.a. (DD Year-End Bonds) at a range of 5 to 7 year tenor, and possibly the very last chance that the public can park their funds in an 8% area rate issued by a Triple A Credit Rated listed company with a diversified hard asset portfolio spread out in the Philippines and overseas.

The name ‘Dragon Year-End Bonds’ is chosen due to the intended issuance schedule at the Year-End of the Year of the Dragon 2024.

Total Assets increased to P191.29 Billion in the first six months ending June 30, 2024. Total Equity increased to P95.15 Billion in the first six months ending June 30, 2024 making DoubleDragon on track to exceed P100 Billion in Total Equity for the first time in 2024. DoubleDragon happens to be one of the very few companies that has not only positioned a diversified hard asset portfolio spread out across the Philippines, but it also happens to be one of the very few that has organically developed a novel asset-light concept and highly unique business model in Hotel101 (HBnB) that is portable and exportable to other continents globally. The export of Hotel101 is expected to eventually become one of the major US Dollar inflow generator to the Philippine economy.

The Company is positioned to become one of the few companies in the Philippines with Total Equity at 12 digit level.

DoubleDragon Corporation is chaired and co-chaired by two Filipino entrepreneurs — Mang Inasal Founder, Edgar “Injap” Sia II and Jollibee Founder, Tony Tan Caktiong.