SM Prime sets P10-B bond yield at 4.2005%

SM Prime Holdings Inc. has priced its long-term bond float at an interest yield of 4.2005 percent per year.

The principal amount is P10.0 billion of 10-year peso-denominated series F bonds, the proceeds of which will be used by SM Prime to finance the expansion of its provincial operations

The bonds will be offered to investors through underwriters from July 13 to 19, and will be issued on July 26.

“The retail bond to be issued will sustain SM Prime’s development roadmap, which is geared towards provincial expansions mostly allotted on malls and offices developments. We remain optimistic on the huge growth potential in the provinces where large areas remain unserved.” SM Prime President Hans T. Sy said.

The joint issue managers, joint lead underwriters, and joint bookrunners for the transaction are BDO Capital & Investment Corporation, BPI Capital Corporation, China Bank Capital Corporation and First Metro Investment Corporation.

East West Banking Corporation, PNB Capital and Investment Corporation, and United Coconut Planters Bank have been tapped as participating underwriters.

"According to the underwriters, SM Prime received a strong demand for the retail bonds," the company said. — Jon Viktor D. Cabuenas/VDS, GMA News