MANILA, Philippines - Power producer First Gen Corp. is planning to obtain a loan worth up to P3.75 billion to partly refinance its debts.

In a disclosure to the Philippine Stock Exchange, First Gen said its board of directors has approved the signing of a 5-year loan facility agreement with Banco de Oro Unibank Inc., BDO Leasing and Finance Inc., and BDO Private Bank Inc.

Loan proceeds will be used to refinance the Lopez-owned company's outstanding obligations, and for other general corporate requirements.

Earlier, a senior official of First Gen said they would raise P3 billion to P5 billion from the sale of preferred shares in the fourth quarter of 2010.