SMC Global Power Holdings Inc., the power unit of conglomerate San Miguel Corp., is finalizing a $400-million (P18.6 billion) syndicate loan to finance the construction of a 300-megawatt coal-fired power plant in Malita, Davao del Sur.
San Miguel senior vice president and senior executive assistant to the president Aurora Calderon said in an interview at the sidelines of the recent Petron investors’ briefing the planned fund raising activity was expected to be finalized before the end of the year.
Calderon said the amount would be used to partially finance the $600-million power plant in Davao.
She said several banks would be involved in the syndicate loans, but did not identify the financial institutions involved in the transaction.
SMC Global Power was scheduled to start operating the first 150-megawatt unit of the two-unit coal-fired power plant in Malita in July, while the second unit could be running by yearend, its president said earlier. Another 300-MW coal-fired power plant is in the pipeline for Davao.
SMC Global earlier raised P15 billion from issuance of fixed-rate five, seven and 10-year bonds.
Proceeds from the bond offering were used to refinance the company’s short-term loan provided by BDO Unibank.
SMC Global Power is one of the largest power companies in the Philippines, controlling 2,903 megawatts of combined contracted capacity as of December 2015.
SMC Global Power had a 17-percent market share of the power supply of the national grid and 22-percent market share in the Luzon grid as of end-December 2015.