May 12, 2009

                                

 

A PHP5-billion (US$105 million) bond float is in the works to finance a breeding programme for increased milk production, according to the Dairy Confederation of the Philippines (DCP).

 

In an industry report prepared for Saudi Arabian investors, the DCP said it was considering arranging an Islamic bond float through the Al-Amanah Islamic Investment Bank of the Philippines.

 

The proceeds will be used to import breeding animals for selected government stock farms, animal centres and state university farms.

 

DCP would package the bond issue, market the offspring and milk produced by the imported breeders and identify possible areas for breeding farms.

 

DCP national chairman Danilo V. Fausto said his organisation was considering issuing Islamic bonds or "Sukuk", but clarified that this would push through only if investors from Islamic countries such as Saudi Arabia signify their participation.

                             

US$1 = PHP47.557 (May 12)