SMIC lists first P10B of debt program
The Sy family’s flagship holding company SM Investments Corp. (SMIC) announced the listing of P10 billion worth of bonds in the country’s fixed-income exchange, part of a running program to manage long-term debt.
SMIC said the notes, priced at 3.36 percent per year and with maturity on April 2, 2024, are now tradable on the Philippine Dealing and Exchange Corp.
The company said proceeds from the issuance would be used to refinance its loans.
These formed part of a P30-billion debt program under long-term registration with the Securities and Exchange Commission.
The SM Group joins other Philippine corporations that have tapped the debt market to secure funding while interest rates remain low.
For its issuance, SMIC tapped banking units via China Bank Capital and BPI Capital apart from First Metro Investment Corp. and Security Bank Capital.
SMIC is the holding company of the group’s core businesses in property, banking and retail.
In the first semester of 2020, SMIC saw net income drop 69 percent year-on-year to Px7.1 billion amid the economic downturn triggered by the COVID-19 pandemic. Its total revenues dropped by 21 percent year-on-year to P185.5 billion during the same period.
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