PSALM secures PHP 100B loan with LANDBANK lead

The Power Sector Assets and Liabilities Management Corporation has secured a PHP 100-billion syndicated term loan facility to support its operational and financial obligations.

LANDBANK committed PHP 60 billion as the lead financier, reinforcing its role in the country’s energy and economic development strategy.

The facility aims to boost PSALM’s working capital, refinance existing liabilities, and settle domestic contractual obligations in line with the government’s broader fiscal reforms.

LANDBANK and the Development Bank of the Philippines served as Joint Lead Arrangers, with the LANDBANK Trust Banking Group acting as Facility and Paying Agent.

The Office of the Government Corporate Counsel provided legal support as the Transaction Counsel.

The loan signing was held on July 17, 2025, and was attended by PSALM President and CEO Dennis Edward A. Dela Serna, LANDBANK President and CEO Lynette V. Ortiz, and DBP President and CEO Michael O. de Jesus.

Judge Solomon M. Hermosura, Government Corporate Counsel, was also present at the ceremony.

“We are honored to be part of this important milestone, alongside our partners in government and development finance,” said Ortiz.

“This transaction reflects our collective resolve to strengthening the Philippine power sector — an industry that is fundamental to shaping the future of our economy and uplifting the lives of every Filipino,” she added.

The initiative supports PSALM’s mandate under the Electric Power Industry Reform Act, which tasks the agency with managing and privatizing the remaining assets and financial obligations of the National Power Corporation.

LANDBANK has been a financing partner of PSALM since 2008, consistently aiding its debt management programs.

The bank also supports major oil companies, power producers, and utilities, highlighting its commitment to national infrastructure and energy resilience.