By VG Cabuag October 5, 2020

A unit of Apollo Global Capital Inc. on Monday said it has secured a credit line from state-owned Development Bank of the Philippines (DBP), which will be used as a working capital for the export production of iron ore.

In its disclosure, the company, formerly known as the Yehey! Corp., said its unit JDVC Resources Corp. secured some $8 million or P416 million as its export packing credit line from the bank.

“JDVC shall assign, transfer and physically convey in favor of DBP, its successors and assigns, all of JDVC’s rights, title to and interest in the receivables arising from the LCs (letter of credit) in the amount equivalent to 80 percent  of its loan value, including any and all assigned receivables  which may from time to time during the tenor of the Loan/Line exist or accrue to the JDVC,” the company said. The interest rate of the said credit line is floating, based on the lender’s prevailing rate at the time of availment, payable at maturity or upon negotiation of sight/usance of the letter of credit, whichever comes first.

“The above credit line is expected to successfully jump start the commercial and profitable operations of APL [Apollo Global Capital] through its 90.47 percent owned subsidiary JDVC and pave the way for the realization of increased shareholder value,” the company said.

As security for the approved credit line, 10.5 billion Apollo Global shares owned by Daniel Chua Go amounting to $10.1 million or P525 million have been pledged to DBP, the company said.

Go is one of the company’s major stockholders, who owns about 16.28 percent of Apollo Global.

Apollo Global, formerly Yehey!, was incorporated on June 10, 1998 with a primary purpose to engage in the business of internet online-related products relating to database research engine; to engage in other pre-production and post-production work on web sites in internet; and to sell and market said products in the form of advertising of finished products in the domestic or export market. In 2014, the company is 66.95 percent owned by Vantage Equities Inc.

On October 15, 2015, Yehey ceased to be a majority-owned subsidiary of Vantage when the company sold its shares to a group of individual shareholders.

In October 2016, the Securities and Exchange Commission approved the company’s change in name to current one as it winded down its digital marketing operations and resulting change in primary purpose to that of a holding company.

source: https://businessmirror.com.ph/2020/10/05/apollo-global-unit-secures-credit-line/