Thursday, January 23, 2020

SMC unit nets $600M from securities sale


By Jordeene B. Lagare January 23, 2020

SMC Global Power Holdings Corp., the power arm of San Miguel Corp. (SMC), has raised $600 million from the sale of securities.
In a disclosure to the Philippine Dealing & Exchange Corp. on Wednesday, SMC Global Power said it issued senior perpetual capital securities with an initial rate of distribution of 5.70 percent per annum.
“Approval in-principle has been obtained from the Singapore Exchange Securities Trading Ltd. (SGX-ST) for the listing and quotation of the securities and the securities are expected to be admitted to the official list of the SGX-ST on Jan. 22, 2020,” it added.
Credit Suisse (Hong Kong) Ltd., DBS Bank Ltd., J.P. Morgan Securities PLC, Mizuho Securities Asia Ltd., Standard Chartered Bank and UBS AG Singapore Branch were the joint lead managers.
DB Trustees (Hong Kong) Ltd. was tapped as trustee while Deutsche Bank AG, Hong Kong Branch would act as paying agent.
SMC Global Power had earmarked proceeds from the transaction for the development and completion of its battery energy storage systems projects and also for general purposes.
The latest issuance was on top of the $500-million senior perpetual capital securities issued on April 25, 2019, the $300-million senior perpetual capital securities issued on July 3, and the $500-million senior perpetual capital securities issued on November 5.
SMC Global Power, which has a diversified portfolio utilizing a mix of coal, natural gas, hydroelectric power, and battery energy-storage systems, has an installed capacity of 4,197 megawatts.
It administers three power plants via its independent power producer administration agreements with the Power Sector Assets and Liabilities Management Corp.

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