SAN MIGUEL CORP. (SMC) has completed the issuance of $500-million perpetual securities on Wednesday, which it expects to list at the Singapore Exchange Securities Trading Ltd. on Friday.
In a disclosure to the local exchange, the listed conglomerate said it had received the approval-in-principle from the Singapore Exchange for the listing of the securities.
The perpetual capital securities were issued under SMC’s $3-billion medium-term note and securities program. It had an initial rate of distribution of 5.500% per annum.
As perpetual securities, the bonds have no maturity date and investors are paid through a steady stream of interest payments.
SMC previously said it tapped BofA Securities, Inc. and Standard Chartered Bank as joint lead managers, DB Trustees (Hong Kong) Ltd. as trustee, and Deutsche Bank AG, Hong Kong Branch as paying agent for the issuance.
Proceeds from the company’s medium-term note and securities program are intended to support its infrastructure projects and refinance existing loans.
SMC swung to an attributable net loss of P1.27 billion in the first quarter due to the impact of the coronavirus pandemic to its operations. Its shares at the stock exchange rose 60 centavos or 0.61% to P99 each on Thursday.
Meanwhile, Filinvest Development Corp. (FDC) said on Thursday it is planning to issue dollar-denominated bonds in August.
In a disclosure to the exchange, it said its board of directors approved the plan to issue the bonds in the offshore market, but the issue size and other details are still to be determined by its management.
FDC had a plan to float an P8-billion bond in March, but was deferred due to the lockdown as triggered by the coronavirus pandemic. FDC President and Chief Executive Officer L. Josephine G. Yap said in June there were plans to revive the bond offering.
The company’s attributable net income grew 8% to P3 billion in the first quarter amid a 2% dent in revenues to P17.18 billion. FDC shares at the stock exchange increased 44 centavos or 5.33% to P8.69 each on Thursday. — Denise A. Valdez