PROPERTY developer Primex Corp. said it had prepaid all its bank obligations with Metropolitan Bank and Trust Co. and BDO Unibank Inc. early this year.
Primex, together with subsidiary Primex Realty Corp. and affiliate Primex Land Inc., has a total approved loan line of P1.8 billion.
The listed firm has an approved loan with Metrobank amounting to P300 million due to mature in April 2020.
Primex Realty, the owner and developer of a 31-story residential tower in Salcedo Village in Makati City, was able to secure a term-loan agreement with Metrobank amounting to P700 million and a P500-million loan with BDO.
The Metrobank loan matured on July 6, 2016, but was fully paid three months ahead of time, while the BDO loan, maturing in 2020, was fully settled before the year 2016 ended.
Its affiliate Primex Land was able to wipe out all its bank obligations of P300 million or five months ahead of maturity. “Eliminating our already low debt levels helps make Primex a fundamentally stronger company, especially at a time when the market is expecting a rise in interest rates,” Primex Chairman Ernesto Ang said.
“Our debt-to-equity levels should now be among the healthiest and lowest among the most valuable 20 listed property developers in the country,” he added.
The company reported revenues of P165 million in the first nine months of 2016, with a net income before tax of P83.4 million.
“Our current financial position even allows us to pay dividends to shareholders which we are planning for 2017, on top of four acquisitions and upcoming development projects,” Ang said.
He said the company is formulating a dividend policy in view of the steady improvement in its financial performance and for the benefit of their stockholders who have supported the firm.