Maples Group Supports Philippine Airlines with First International Bond Offering
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The Maples Group’s Cayman Islands Asset Finance team is delighted to have supported Philippine Airlines, Inc. (“PAL”) on its first international bond offering, which raised US$300 million through the sale of five-year senior unsecured guaranteed bonds. The bonds were issued by PAL’s wholly owned subsidiary, Primero Agila Limited, a Cayman Islands entity, and will be listed on the Singapore Exchange Securities Trading Limited.
The offering attracted strong investor demand, with the bonds priced at a reoffer yield of 8.00% and approximately 4.5 times oversubscribed, generating a final orderbook of more than US$1.4 billion.
This marks PAL’s first bond offering since emerging from Chapter 11 bankruptcy proceedings in the US in December 2021. Its successful inaugural entry into the international capital markets underscores PAL’s financial turnaround and supports the airline’s next phase of growth. The transaction represents several significant achievements for both PAL and the Philippine capital markets.
It is the first rated high-yield bond offering by a Philippine-owned issuer in more than a decade, the first unsecured rated high-yield bond issued by an Asian airline and the first-ever rated airline bond issuance from South and Southeast Asia.
Proceeds from the bond sale will support PAL’s fleet modernisation and international expansion, including increased flights to key North American hubs such as Chicago, New York, Toronto and Vancouver.
The Maples Group’s Cayman Islands Asset Finance team was led by Partner Shari Howell, with assistance from Associates Sorcha O’Keefe and Hailee Robinson. The team provided Cayman Islands legal counsel on all aspects of the transaction.
“We are pleased to have supported PAL on this landmark transaction and congratulate the airline on a resoundingly successful inaugural international bond offering,” commented Shari. “We’re also delighted to have been able to bring our cross-border asset finance expertise to a transaction that represents such an important milestone for PAL, the aviation sector and the Philippine capital markets.”
Sherice Arman, co-head of the Cayman Islands Asset Finance group, added: “It has been a privilege to support PAL on its first international bond offering. Our global asset finance team has remained active throughout the first half of 2026, advising on a range of aviation transactions, including several high-value ABS deals. We are pleased to continue supporting our clients in achieving their aviation financing objectives.”
