Manila Water signs EUR250 million term loan with Bank of China
Manila Water Company, Inc. (“Manila Water”) signed a EUR250 Million, 7-year term loan facility with Bank of China (Hong Kong) Limited and Bank of China Limited, Manila Branch.
The loan is the first EUR-denominated commercial loan of the company and will be used to finance the company’s capital expenditure program in Metro Manila’s East Zone for 2019-2020. Major projects include development of medium-term water sources, improvements in existing distribution systems, construction of new sewerage treatment plants, and expansion of sewer networks.
Manila Water holds the exclusive right to provide water and used water services to the eastern side of Metro Manila (“East Zone”) under a Concession Agreement (“CA”) entered into between the Company and Metropolitan Waterworks and Sewerage System (“MWSS”). Under the Rate Rebasing 2018 approved business plan, the company is programmed to implement capital expenditure projects amounting to PHP 79.4 Billion (in 2018 prices) for the period 2018 to 2022.
The Company provides water treatment, water distribution, sewerage and sanitation services to more than six million people in the East Zone, comprising a broad range of residential, semi-business, commercial and industrial customers. The East Zone encompasses 23 cities and municipalities spanning a 1,400-square kilometer area that includes Makati, Mandaluyong, Pasig, Pateros, San Juan, Taguig, Marikina, most parts of Quezon City, portions of Manila, as well as the following towns of Rizal: Angono, Antipolo, Baras, Binangonan, Cainta, Cardona, Jala-Jala, Morong, Pililia, Rodriguez, San Mateo, Tanay, Taytay, and Teresa.