San Miguel Brewery returns to PDEx organized market with the listing of PHP 15 Billion SMB Series G and Series H bonds due 2021 and 2024Posted on: April 2, 2014
Makati, Philippines, 02 April 2014, Wednesday – Southeast Asia’s first and largest brewer, San Miguel Brewery Inc.(SMB), returned to the debt organized market to ring the PDS ceremonial bell for the fourth time to herald the trading of its newly listed PhP 15 billion Series G Fixed Rate Bonds due 2021 and Series H Fixed Rate Bonds due 2024 on the Philippine Dealing & Exchange Corp. (PDEx).
Since its debut in the corporate debt market in 2009 through a landmark PhP38.8 billion bond issuance, SMB to-date has issued a total of PhP73.8 billion bonds, all listed in PDEx. PhP 13.6 billion of these bonds matured in 2012.
The last time SMB tapped the bond market was in October 2012 when it listed its PhP3 Billion Series D Bonds due 2017. The Series D bonds was part of the PhP20 billion fixed rate bonds, following the earlier listed PhP17 billion Series E and F bonds on April 2012.
SMB went beyond championing its iconic San Miguel brand across the Asia-Pacific region. Its stellar performance in the organized market is also consistent and market-leading. Today, SMB has seven outstanding bonds with a total issue size of PhP 60.21 Billion comprising about 14% of the total outstanding listed corporate securities in PDEx, making it the largest issuer in terms of issue size. Since the listing of the SMB Bonds in November 2009, SMB has been one of the leading private debt issuers in terms of trading volume, with aggregate volumes hitting almost PhP 2 Billion last year, or 5% share of total corporate securities traded volume for 2013.
SMB’s listed securities, the PhP 12,461,680,000 Series G seven-year fixed rate bonds due 2021 and PhP 2,538,320,000 Series H 10-year fixed rate bonds due 2024 carry coupon rates of 5.5000% and 6.0000% per annum respectively.
With the proceeds from the bond offering, the brewery intends to pay off the PhP 22.4 billion Series B bonds maturing this month. Philratings assigned the highest rating in its scale for this bond issuance.
PDS Group President & CEO Cesar B. Crisol said, “We thank San Miguel Brewery for unceasingly coming back. Let us toast to another tranche of SMB Bonds and look forward to more years of “Samahang Walang Katulad”. Indeed, this listing ceremony is a celebration of excellence and “nakakabilib” in each of us as we contribute to the robustness and vibrancy of the Philippine capital market.”
San Miguel Corporation Senior Vice President and Head of Treasury Sergio Edeza said on behalf of SMB President Roberto Huang, “Our bondholders will find a good investment in SMB because of our company’s continuing growth potential. Challenges may come our way, but these do not hamper the path to success because our fundamentals are strong. As the market leader in beer, we never rest on our laurels. I always tell my colleagues in SMB that staying on top is much more difficult than going to the top. With guidance from our parent company San Miguel Corp., led by our Chairman Mr. Ramon S. Ang, and Kirin Holdings, San Miguel Brewery Inc. works to exceed targets we set year in and year out.” #