SM Prime Holdings, Inc. (SMPH) announced Wednesday it has successfully raised $350 million from a debt note issuance, with the offering nearly three times oversubscribed.
The five-year notes carry a coupon rate of 4.75 percent, the lowest for a similar issuance since September 2020, according to the integrated property developer. The offering, which will be listed on the Singapore Exchange, is part of the company’s $3 billion Euro Medium-Term Note (EMTN) program.
“Through this latest drawdown, we are able to tap the market at an opportune time to support our future projects and strategic initiatives,” said Jeffrey Lim, president of SMPH. “The continued interest from global investors underscores their sustained confidence in our long-term growth prospects.”
This marks SMPH’s first U.S. dollar-denominated debt offering and the second drawdown under the multi-issuer EMTN program, which was established in May 2024 with its parent firm, SM Investments Corporation.
“SM Prime posted record revenues of P140 billion in 2024, and we aim to build on this momentum,” said John Nai Peng Ong, SMPH’s chief finance officer. “This issuance will support our commitment to sustainable growth and continued contribution to the nation’s progress.”
The notes were primarily distributed to fund managers (80 percent) and were allocated to investors in Asia (91 percent) and EMEA (Europe, Middle East, and Africa) (9 percent).
The notes were issued by SMPHI SG Holdings Pte. Ltd., a wholly owned subsidiary of SM Prime, and are guaranteed by the parent company. HSBC, J.P. Morgan, Standard Chartered Bank, and UBS were the joint lead managers and bookrunners, while BDO Capital and Chinabank Capital acted as joint domestic managers.
Proceeds from the issuance will be used for general corporate purposes. For 2025, SMPH has earmarked P100 billion in capital expenditures, primarily to roll out more malls and residential projects across the country.
Shares of SMPH closed 1.27 percent higher at P24 on Wednesday.
