MANILA – SM Prime Holdings Inc on Monday priced its P15-billion retail bond sale.

In a disclosure to the Philippine Stock Exchange, the Henry Sy-led property company said it pegged the interest rates for its peso-denominated Series A 5.5-year retail bonds at 5.1000 percent per annum. 

For its Series B 7-year retail bonds, the interest rate is 5.2006 percent, while its Series C 10-year debt papers are quoted at 5.7417 percent.

The bonds are scheduled to be offered from August 13-22, and will be issued on September 1.

This is SM Prime’s maiden offering of peso-denominated retail bonds to the public. 

The Philippine Rating Services Corp (PhilRatings) has assigned the highest rating of “PRS Aaa” to the new IOUs.

A “PRS Aaa” rating denotes that such obligations are of the highest quality with minimal credit risk, and that the issuing company’s capacity to meet its financial commitment on the obligations is extremely strong.

Joint issue managers and joint book runners are BDO Capital & Investment Corp and First Metro Investment Corp (FMIC), while the joint lead underwriters are BDO Capital, FMIC, BPI Capital Corp and China Banking Corp.

Land Bank of the Philippines, Philippine Commercial Capital Inc, PNB Capital and Investment Corp, RCBC Capital Corp, SB Capital Investment Corp and United Coconut Planters Bank are participating underwriters for the bond issue.

SM Prime closed the first half with a 12 percent year-on-year increase in its profit to P9.80 billion on the strength of its mall operations and the rebound of its residential business.