San Miguel Corp. said Wednesday the board of subsidiary SMC Global Power Holdings Corp. authorized the conduct of $400-million tender offer to the holders of the US dollar-denominated senior perpetual capital securities.
The board approved during a special meeting on Oct. 26 the conduct of the tender offer to the holders of SMCGP securities listed with the Singapore Exchange Securities Trading Ltd. “The appropriate announcement of the tender offers shall be made by SMC Global Power in SGX-ST on even date,” SMC earlier said.
The securities subject of the tender offer include the $800-million 6.5% SPCP issued on April 25, 2019; $500 million 5.95% SCPC issued on Nov. 5, 2019; $600 million 5.70% SCPC issued on Jan. 21, 2020; $750 million 7% SCPC issued on Oct. 21, 2020; and the $750 million 5.45% SCPC issued on June 9, 2021.
SMC earlier SMCGP would weather the financial challenges following the denial by the Energy Regulatory Commission of its petition for temporary relief from its fixed-rate power supply agreements with Manila Electric Co. “We’re confident that we will be able to manage the company’s maturing obligations in 2023 and beyond. If necessary, there will be SMC parent support. For our bondholders, SMCGP will continue to be fully compliant with its financial covenants at all times,” SMC president and chief executive Ramon Ang said.