The additional notes will be consolidated with the airline’s existing $300 million 7.75 percent senior notes due 2031, creating a single series, according to a filing by listed parent firm PAL Holdings.
The tap issuance carries the same 7.75 percent coupon as the original bonds and was priced to yield 7.997 percent.
The notes will settle on Aug. 6 and will be guaranteed by Philippine Airlines and Air Philippines Corp. before being listed on the Singapore Exchange.
The move comes after PAL attracted more than $1.4 billion in investor orders for its inaugural bond sale, allowing the Lucio Tan-led carrier to raise $300 million in one of the strongest market endorsements yet of its turnaround following its Chapter 11 restructuring.
Funding fleet renewal
The proceeds will help fund fleet modernization and other long-term capital requirements as PAL prepares for its next phase of expansion.
The airline recently signed aircraft, engine and maintenance agreements at the 2026 Farnborough International Airshow, including firm orders for 15 Boeing 787-10 Dreamliners and nine Airbus A350-1000 aircraft, with options for 10 more widebody jets.
If all options are exercised, the agreements cover up to 34 widebody aircraft scheduled for delivery between 2031 and 2036, supporting PAL’s long-haul growth and international network expansion.
—Edited by Miguel R. Camus
