SMC completes bondholder approval process for part of NAIA financing plan

SAN MIGUEL CORP. (SMC) said it has completed the consent solicitation process for three of its fixed-rate bond series, allowing the company to move forward with plans to use shares in its New NAIA Infra Corp. subsidiary as collateral for project financing.

In a disclosure on Tuesday, SMC said it obtained approvals from more than 50% of bondholders for its Series C, J, and K bonds, which collectively amount to several billion pesos in outstanding principal.

The process, known as a consent solicitation, sought investors’ approval to amend certain bond terms linked to collateral and loan conditions.

“With the completion of the solicitation period, the trustee and selling agents will no longer accept new consent forms,” SMC said, adding that only forms submitted before the cut-off will be verified for eligibility to receive a consent fee.

The move is part of SMC’s broader effort to secure financing flexibility for New NAIA Infra Corp., which will undertake the rehabilitation and operation of the Ninoy Aquino International Airport (NAIA).

SMC said the details of the Supplemental Trust Agreements and the Consent Payment Dates will be announced later.

Other bond series under SMC’s consent solicitation, including the Series G, I, L, M, N, O, and P bonds, remain open for approval until Oct. 22.

SMC shares closed unchanged at P56.60 apiece on Tuesday. — A.G.C. Magno