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International Container Terminal Services, Inc. secured a US$750-million loan from Metrobank to further expand its port operations worldwide
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Proceeds of the six-year loan facility will be used to refinance ICTSI’s short-term obligations and to fund strategic mergers and acquisitions
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To date, this is the biggest credit facility secured by ICTSI and the largest bilateral facility extended by Metrobank
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ICTSI earmarked $400 million this year for its capital expenditures
International Container Terminal Services, Inc. (ICTSI) has secured a US$750-million six-year loan from Metropolitan Bank & Trust Co. (Metrobank) to further expand its port operations worldwide.
To date, this is the biggest credit facility secured by ICTSI and the largest bilateral facility extended by Metrobank, the port operator said in a statement.
In a separate regulatory disclosure, ICTSI said its board in a meeting on August 31 authorized the execution of the loan.
Proceeds of the loan facility will be used to refinance ICTSI’s short-term obligations and to fund strategic mergers and acquisitions.
ICTSI has invested in both new and existing terminals that will fuel the growth of its offshore and domestic operations.
Christian Gonzalez, ICTSI executive vice president, chief compliance officer and chief sustainability officer, said: “Our long-standing relationship with Metrobank enables us to carry out our objective of continuously making our terminals around the world more globally competitive, more efficient, and more accessible. At the same time, this relationship enables us to act more proactively on M&A opportunities of all sizes. Metrobank has been a tremendous partner for us in building our global portfolio and in expanding our position as one of the Philippines’ true global corporate players.”
Metrobank said it sees its financial support to ICTSI as a platform to fulfill its ambitious strategic development plans and further economic growth.
“ICTSI plays a vital role in various markets. Its efforts in building catalysts of growth worldwide make the Filipino standard, a goal for all. We are happy to be able to support ICTSI’s global initiatives and we are proud to play a role in its success,” said Metrobank Institutional Banking Sector head Mylene Caparas.
This year, ICTSI has earmarked $400 million for capital expenditures, with the first half amounting to $152.23 million.
The company’s net income grew 9% to $348 million in the first half of 2023 from $319.84 million in the same period last year.
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In 2019, ICTSI Global Finance B.V., a subsidiary of ICTSI, also secured a seven-year loan amounting to $300 million from Metrobank to fund its capital expenditures and to refinance its then existing obligations.
