SMC Global Power Holdings Group., the power generation arm of conglomerate San Miguel Corp., has set the interest rate for its P15-billion, five-year fixed rate retail bonds at 6.75 perch per annum.
SMC Global said in a filing with the Securities and Exchange Commission it scheduled the offering period for the Series G bonds due 2023 from Aug. 6 to 10, with the issue date set on Aug. 17. It will list the bonds with Philippine Dealing & Exchange Corp.
The P15-billion bond offering represents the second and last tranche from the company’s P35-billion bond shelf registration program approved by the SEC in December.
SMC Global will use the entire proceeds from the bond sale to refinance the outstanding shareholder advances and existing loan obligations and re-denominate US dollar-denominated obligations of the company.
The power generation firm hired four investment banks, namely BDO Capital & Investment Corp., BPI Capital Corp. China Bank Capital Corp. and PNB Capital and Investment Corp as joint underwriters of the offering.
SMC Global Power is one of the largest power companies in the Philippines, with a combined capacity of 4,153 megawatts as of end March 2018.