SM Prime Holdings Inc. has priced its P10 billion seven-year bond sale at a coupon rate of 5.0994 percent per annum.
The bonds that will sold at an initial P5 billion and another P5 billion covering the oversubscription option will be offered for sale between November 2 to 8, 2021. The retail bond is set to be issued on Nov.15, 2021.
“The proceeds of this latest retail bond will be used to pursue expansion opportunities across our business segments, which will help sustain the company’s growth,” said John Nai Peng Ong, SM Prime chief finance officer.
The proposed issuance is the third tranche of debt securities to be issued from SM Prime’s P100 billion debt securities program registered with the Securities and Exchange Commission.
“Similar to its previous bond issues, the SM Prime Series O bond has been rated PRS Aaa by Philippine Rating Services Corp. (PhilRatings). A rating of PRS Aaa is the highest rating assigned by PhilRatings. This rating is given to long-term debt securities with the smallest degree of investment risk. This also indicates SM Prime’s strong capability to meet its financial commitment,” SM Prime said.
BDO Capital & Investment Corp. and China Bank Capital Corp. serve as joint-issue management. They are joined by BPI Capital Corp., East West Banking Corp., First Metro Investment Corp., SB Capital Investment Corp. and RCBC Capital Investment Corp. as joint lead underwriters.
