Overview
SMPH is one of the largest integrated property developers in Southeast Asia and offers innovative and sustainable Lifestyle Cities with the development of malls, residences, offices, hotels, and convention centers. It is also the largest, in terms of assets, in the Philippines.
SMPH was incorporated in the Philippines in 1994. It started as a mall developer and operator. It grew to be the biggest retail shopping center developer and operator in the Philippines. As of December 31, 2022, it has 82 malls in and outside Metro Manila and seven shopping malls in China, totaling 10.4 million square meters of Gross Floor Area (“GFA”). As of the same date, it also has a total of 19,562 tenants in the Philippines and 1,856 tenants in China.
Key Competitive Strengths:
- Integrated real estate platform with strong track record across segments
- Leading retail malls business
- Access to a prime large-scale land bank
- Strong balance sheet and access to capital
- Experienced management team with strong corporate governance practices
Risk Factors:
- The following may affect cash flows of the Company:
- Competition with other mall operators and commercial and residential developers
- Mall and commercial business operational risks
- Dependence on key tenants, which are affiliates of the SM Group
- Cancellation risk of sales involving its residential projects
- Active market may not develop
- Volatility of interest rates and reinvestment risk
- Inability of Issuer to redeem the Bonds
- Early redemption option of the Issuer
Indicative Terms and Conditions
| Issuer | SM Prime Holdings, Inc. |
| Issue Size |
Php 25,000,000,000 with an oversubscription option of up to Php 10,000.000.000 |
| Issue Price |
100% of face value |
| Use of Proceeds |
To fund debt refinancing and expansion of the Company’s property portfolios |
| Interest Payment |
– Series S Bonds: Interpolated 2.5-Year BVAL rate + Indicative Spread – Series T Bonds: 4-Year BVAL rate + Indicative Spread – Series U Bonds: Interpolated 6-Year BVAL rate + Indicative Spread |
| Form and Denomination |
The Bonds shall be issued in scripless form in minimum denominations of P20,000.00 each, and in multiples of P10,000.00 thereafter, and traded in denominations of P10,000.00 in the secondary market |
| Public Offer Period | [May 8 -12, 2023] |
| Issue and Listing Date | [May 23, 2023] |
DISCLAIMER: A REGISTRATION STATEMENT RELATING TO THESE SECURITIES HAS BEEN FILED WITH THE SECURITIES AND EXCHANGE COMMISSION BUT HAS NOT YET BEEN DECLARED EFFECTIVE. NO OFFER TO BUY THE SECURITIES CAN BE ACCEPTED AND NO PART OF THE ISSUE PRICE CAN BE ACCEPTED OR RECEIVED UNTIL THE REGISTRATION STATEMENT HAS BECOME EFFECTIVE AND ANY SUCH OFFER MAY BE WITHDRAWN OR REVOKED, WITHOUT OBLIGATION OR COMMITMENT OF ANY KIND AT ANY TIME PRIOR TO NOTICE OF ITS ACCEPTANCE GIVEN AFTER THE EFFECTIVE DATE. AN INDICATION OF INTEREST IN RESPONSE HERETO INVOLVES NO OBLIGATION OR COMMITMENT OF ANY KIND. THIS SHALL NOT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY.
For more information, please contact
any Security Bank Branch or email [email protected], [email protected], and [email protected]