SMC capital raise nets ₱49-B for mega-projects

Infrastructure and manufacturing giant San Miguel Corp. (SMC) listed ₱48.86 billion in preferred shares at the Philippine Stock Exchange following the successful completion of its pioneering preferred share exchange offer and public offering.

- By JAMES A. LOYOLA

SMC's ₱18.86 billion exchange offer covered its Series 2-P, 2-Q, and 2-R preferred shares, allowing holders of its Series 2-J and 2-K shares to swap their investments on a one-for-one basis instead of waiting for redemption.

The move introduces greater flexibility and liquidity for investors, an innovation in local capital markets that has traditionally been limited to straightforward redemptions.

A total of 251.47 million shares were tendered under the exchange offer, comprising 173.76 million Series 2-J and 77.71 million Series 2-K shares.

The remaining 92.91 million Series 2-J and 106.19 million Series 2-K shares will be redeemed on Oct. 29 and Dec. 10, 2025, respectively.