SMC Global Power raising Php60B via bond offer


SMC Global Power Holdings, the power arm of San Miguel Corporation (SMC), has secured clearance from its Board of Directors to raise up to Php60 billion worth of bonds. 

In a disclosure to the Philippine Dealing and Exchange Corporation (PDEX), the company said that the fixed-rate retail bonds will be registered with the Securities and Exchange Commission. 

SMC Global Power, the country’s second largest power generating firm is on a massive expansion plan to ramp up its renewable energy and liquefied natural gas (LNG) investments. Relative to this, the company also recently disclosed to the PDEX that it is planning to have Php215 billion worth of capital expenditures this year for long-term investments.

Aside from developing various LNG ventures in Batangas, Negros Occidental, Cebu, and Leyte, SMC Global Power also plans to build a hydroelectric power plant in Aklan. It also is developing 1,000 megawatts (MW) in battery energy storage system projects, of which it plans to switch on  at least 690MW this year.

The firm had secured a power supply agreement with the Manila Electric Company (MERALCO) for 170MW of peaking power for the summer. The agreement is scheduled for a public hearing with the Energy Regulatory Commission beginning this Friday.