SMC raises P49 B from preferred shares

Food-to-infrastructure giant San Miguel Corp. (SMC) has listed close to P49 billion worth of preferred shares at the Philippine Stock Exchange (PSE), the first-ever preferred share exchange offer by a private company alongside a public offer in the country.

- By ELIJAH FELICE ROSALES

SMC's P18.86-billion exchange 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.

The switch, however, was done on a one-for-one basis, instead of waiting for redemption in the future.

SMC said the exchange provides investors with greater flexibility and liquidity. It also introduces another innovation in a capital market that is traditionally limited to straightforward redemptions.