Real estate developer Italpinas Development Corp. (IDC) has approved a plan by its subsidiary, IDC Prime Inc., to raise up to P1 billion through a corporate notes facility to fund a residential development in Bataan.

In a disclosure, IDC said its board of directors authorized the planned issuance, which will be undertaken as a Securities and Exchange Commission-exempt offering and limited to qualified buyers.

“The proposed issuance of the corporate notes will be conducted as a SEC-exempt offering, and the offering will be limited exclusively to Qualified Buyers under Rules 10.1.3 and 10.1.11 of the Implementing Rules and Regulations of the Securities Regulation Code,” the company said.

The board also approved IDC’s participation as guarantor for the facility, supporting IDC Prime’s fund-raising effort.

According to the company, the net proceeds will be used to finance the development, construction, and completion of the Baia Verde Residences project, which will rise on a 2.3-hectare property in Morong, Bataan. Part of the funds will also be allocated for related project costs and working capital requirements directly tied to the development.

The approval was made during the board’s meeting on 6 February. Italpinas did not disclose further details on the timetable or final terms of the proposed notes issuance but said the offer will be restricted to qualified institutional investors in line with existing securities regulations.

The planned facility is seen as part of the company’s efforts to support the expansion of its residential portfolio outside Metro Manila and ensure the timely delivery of the Baia Verde project.

At the Philippine Stock Exchange on Monday, shares of Italpinas closed at P0.86, down 1.15 percent.