THE Securities and Exchange Commission (SEC) has approved the planned offerings of Ang-led conglomerate San Miguel Corp. (SMC) and Villar-led property developer Vista Land and Lifescapes, Inc. (VLL).

During an en banc meeting on Oct. 17, the SEC resolved to render effective the registration statements of SMC and VLL to raise as much as P65 billion and P35 billion, respectively,

The separate offerings will be done in tranches within three years.

“SMC and VLL completed their registration processes within 33 and 32 days, respectively, in line with the SEC’s commitment to a speedy and efficient registration process,” the corporate regulator said in a statement on Thursday.

According to the commission, SMC’s registration statement covers 866.67 million of its Series 2 preferred shares.

For the initial tranche, San Miguel will offer 400 million preferred shares at P75 each totaling P30 billion, with an option to oversubscribe up to 266.67 million preferred shares worth more than P20 billion.

The conglomerate expects to generate as much as P49.62 billion from the initial tranche if the oversubscription option is fully exercised. The preferred shares would be listed and traded on the main board of the Philippine Stock Exchange.

“The company intends to use a portion of the net proceeds to repay Philippine peso-dominated short-term loan facilities and previously issued bonds, and to invest in airport and airport-related projects,” the SEC said.

SMC engaged Bank of Commerce, BDO Capital & Investment Corp., and China Bank Capital Corp. as joint issue managers for the offer. 

The three firms were also tapped as joint lead underwriters and bookrunners alongside Asia United Bank Corp., BPI Capital Corp., Land Bank of the Philippines, Philippine Commercial Capital, Inc., PNB Capital and Investment Corp., RCBC Capital Corp., SB Capital Investment Corp., and Union Bank of the Philippines.

Meanwhile, VLL will initially offer fixed-rate bonds worth P6 billion, with an oversubscription option of up to P4 billion, consisting of Series F bonds due in 2026 and Series G bonds due in 2028. The offering is part of the company’s shelf registration of its debt securities program with a principal amount of P35 billion.

VLL expects to raise more than P9.83 billion if the oversubscription option is fully exercised.

“It intends to primarily use the net proceeds to refinance maturing obligations and for general corporate purposes,” the SEC said. 

The bonds will be listed and traded at the Philippine Dealing & Exchange Corp.

VLL engaged China Bank Capital, SB Capital, and Union Bank as joint lead underwriters and bookrunners, with China Banking Corp. Trust and Asset Management Group being identified as trustees. — Revin Mikhael D. Ochave