By Myrna M. Velasco
The power generation arm of San Miguel Corporation plans to raise its bond d issue to P60 billion next year – with proceeds to be earmarked for the conglomerate’s expansion power projects.
San Miguel Corporation logo ( MANILA BULLETIN)
The company listed its initial P30-billion Fixed Rate Bonds at the Philippine Dealing & Exchange Corp (PDEx) yesterday. This is part of the P60 billion shelf registration that the company targets in fund-raising.
According to SMC Global Power Holdings Corp. General Manager Elenita D. Go, the next tranche which will be at the same level of P30 billion and it is targeted next year.
Among the projects due to be financed by the new loan acquisition will be its 600-megawatt coal fired power plant in Mariveles, Bataan; and another 600-MW coal plant in Pagbilao, Quezon.
The fixed rate bonds issued were: Series H due in 2022 worth P13.844 billion; Series I issue that will be due in 2024 amounting to P9.232 billion; and Series J at P6.923 billion that will lapse in 2026.
“This is the first tranche of our P60 billion shelf registration,” Go said, adding that it has been doing yearly listing at PDEx since its debut three years ago.
The San Miguel Power executive indicated that the bond issue came “at an opportune time as our country faces the daunting challenge of ensuring that adequate and affordable supply of power is available to meet our constantly growing demand.”
She added the company “stands ready to take on these challenges, and pursue a business model and an expansion strategy,” which she noted is in line with the government’s bid for energy security and in deploying environmentally afloat technologies.
Philippine Dealing System Group President Maria Theresa B. Ravalo said the San Miguel Global Power issue was “oversubscribed” with her stressing that such is “a testament to San Miguel Global Power Corp. corporate name that it is able to tap the market in a sizeable amount amid competition from large issues of financial institutions.”
The joint issue managers, joint lead underwriters and bookrunners of the P30 billion issue had been BDO Investment & Capital Corporation; BPI Capital Corp.; China Bank Capital Corporation; PNB Capital & Investment Corporation; RCBC Capital Corporation and SB Capital Investment Corp.
The issue’s trustee had been Philippine National Bank-Trust Banking Group; while the broker specialists were: BPI Capital Corp.; Metropolitan Bank & Trust Co.; Multinational Investment Bancorporation; Philippine Commercial Capital Inc. and Rizal Commercial Banking Corp.