Connect with us

Hi, what are you looking for?


Megawide inks P3-B loan for Cebu market

MEGAWIDE Construction Corp. has agreed to sponsor a P3-billion loan for its subsidiary to finance the Carbon Market mixed-use development in Cebu City.

In a regulatory filing on Thursday, Megawide said that it had executed on May 10 an omnibus loan and security agreement with its unit, Cebu2World Development, Inc., and lenders Philippine National Bank and Land Bank of the Philippines.

Under the agreement, the listed company will act as share security grantor, subordinated loan security grantor, as well as sponsor for the loan agreement. Cebu2World is the borrower, mortgagor, grantor, and assignor.

Megawide has agreed to create a security interest over its present and future shares of stock and its entire ownership interest in Cebu2World for the unit to avail of financing for the development of the Carbon Market.

The financing includes availing of a term loan facility in the aggregate amount of up to 60% of the project’s cost or P3 billion, whichever is lower. The mixed-use development is a joint venture between Cebu2World and Cebu City.

The agreement has named PNB Capital and Investment Corp. as lead arranger and book runner, Land Bank of the Philippines as co-lead arranger and book runner, and Philippine National Bank, acting through its trust banking group, as facility agent and security trustee.

The Carbon Market development is a 50-year joint venture with the Cebu City government for the modernization of a 100-year-old farmer’s market into “a commercial, heritage, and cultural district with a multimodal and integrated transport hub.” 

It is an unsolicited project worth P5.5 billion, with its first phase launched in the second quarter of 2022.

Under the contract, Cebu City will receive an annual guaranteed payment of P50 million with a 10% escalation every five years. — Justine Irish D. Tabile

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!



The rapid advancement of digital technologies has gained momentum to a degree that it transformed almost every aspect of modern life. From enhanced and...


Massive construction activities that are ongoing and upcoming across Eastern, Central, and Western Visayas are further driving demand in the region’s construction industry this...


Amidst the picturesque Dole pineapple plantation, SATNET powered by Kacific bridges the connectivity gap. Have you ever wondered how a leading, remote food processing...


US dollar banknotes are seen in this illustration taken July 17, 2022. — REUTERS By Keisha B. Ta-asan, Reporter PHILIPPINE DOLLAR reserves slipped at...


PHILIPPINE STAR/MICHAEL VARCAS By Luisa Maria Jacinta C. Jocson, Reporter THE PHILIPPINE ECONOMY is likely to grow by 6% this year amid strong domestic...


By Kyle Aristophere T. Atienza, Reporter ECONOMISTS are worried about the alleged failure of Philippine lawmakers to take into account the health of state-owned...

You May Also Like


COVID-19 has had a significant impact on the mental health of Filipinos across different groups all over the archipelago. From frontline workers, parents balancing...


REUTERS By Luz Wendy T. Noble, Reporter The country’s foreign exchange buffers slightly increased as of end-October as the value of the central bank’s...


BW FILE PHOTO GROSS BORROWINGS by the National Government reached P2.6 trillion as of end-September as it continued to raise funds to respond to...


KARASOLAR.COM TENA, Ecuador — Ecuador’s rainforest Achuar people say their ancestors long dreamed of a “fire canoe” or “electric fish” that would let them...

Disclaimer: Respect, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2022 Respect Investment. All Rights Reserved.