THE listing of SMC Global Power Holdings Corp.’s P15-billion fixed-rate bonds on Friday brought the year-to-date new listings at the bond exchange at P120.92 billion, officials of Philippine Dealing & Exchange Corp. (PDEx) said.
This year’s listings bring the total tradable corporate debt instruments to P913 billion, issued by 47 companies across 147 securities, they added.
“The large sizes have been par for the course for the SMC (San Miguel Corp.) group as its companies have always come to the capital markets trusting the capability of investors to supply the funding and confident of their ability to access those resources,” said PDEx President and Chief Operating Officer Antonino A. Nakpil during the listing ceremony.
Yesterday, SMC Global Power listed on the bond exchange the second and last part of a P35-billion shelf registration. The Series G fixed rate bonds due 2023 follows last year’s P20-billion bond listing that capped 2017’s record listing.
Mr. Nakpil said he is noting the company’s activity in the capital markets as it works towards what is expected to be the largest ever initial public offering to be done in the Philippine equity market and raise at least P120 billion in funds, locally and globally.
Elenita G. Go, general manager of SMC Global Power, declined to comment on whether the company would be returning soon to the bond market to raise funds for its long-term infrastructure projects, but said it would do so when the need arises.
She described the bond issuance as “a big step” towards the company’s mission to support nation-building and contribute to the country’s economic progress.
SMC Global Power is conglomerate SMC’s entity for its power generation projects. Earlier this year, the unit was cleared by the antitrust regulator to acquire for $1.9 billion the equity shareholder entities of the 630-megawatt (MW) Masinloc coal-fired power plant in Zambales.
Its portfolio includes Sual power plant in Sual, Pangasinan; San Roque hydroelectric multipurpose power project in San Manuel, Pangasinan; Ilijan power plant in Ilijan, Batangas; Limay greenfield clean coal plant in Limay, Bataan; Angat hydroelectric power plant in Angat, Bulacan; and greenfield power plants in Malita, Davao del Sur and Limay, Bataan.
Aside from the Masinloc plant, the acquired company has energy storage projects in Zambales and in Kabankalan, Negros Occidental.
“If they will continue to expand, which is their plan anyway, we’ll be there to support them,” said BDO Capital and Investment Corp. President Eduardo V. Francisco, noting SMC Global Power’s “very strong” management.
BDO Capital is issue manager, lead underwriter and bookrunner of the bond issuance along with BPI Capital Corp., China Bank Capital Corp. and PNB Capital and Investment Corp. — Victor V. Saulon