SM Prime Completes PhP5B Floating Rate Notes Facility

Shopping mall developer and operator SM Prime Holdings Inc. (PSE: SMPH) recently issued PhP5 billion worth of 5-year floating rate notes. Proceeds of the issue will be used to fund on-going capital expenditures and other general corporate requirements. The issue was solely arranged by First Metro Investment Corp. (PSE: FMIC), the investment banking arm of the Metrobank Group and was fully subscribed to by Allied Bank (PSE: ABC), Bank of the Philippine Islands (PSE: BPI), and Metropolitan Bank & Trust Company (PSE: MBT). 

SM Prime President Hans T. Sy said, “The five-year floating rate notes is SM Prime’s first capital market issuance for 2011. The very positive response of financial institutions to the company’s issuance manifests the market’s confidence in SM Prime’s creditworthiness, stability, and growth potential.”

For 2011, SM Prime plans to open a total of three malls: SM City Masinag in Antipolo City, SM City San Fernando in Pampanga and SM City Olongapo in Zambales. The company is also set to expand two of its existing malls, namely, SM City Davao in Southern Mindanao and SM City Dasmariñas in Cavite. By the end of the year, SM Prime will have 43 malls nationwide with a GFA of 5.2 million sqm. Including the SM malls in China, the company’s GFA will reach 5.9 million sqm.

Related Articles:

Leave a Reply