SM Investments Receives Prestigious Award for Capital Market Triumph in 2024

SM Investments Earns Recognition for Outstanding Bond Deal

In an impressive display of financial acumen, SM Investments Corporation has been awarded the prestigious 'Philippine Capital Market Deal of the Year' by International Financing Review Asia (IFR Asia). This accolade recognizes the company's successful issuance of a USD 500 million five-year bond in 2024, reflecting both its leadership in the capital markets and the robust confidence displayed by global investors in its fiscal health.

The award highlights a significant milestone for SM Investments, marking its re-entry into the US dollar bond market after a ten-year hiatus. This issuance is particularly notable as it stands as the largest five-year deal executed by a Philippine corporation in 2024 amidst a backdrop of volatile market conditions, achieving competitive pricing at 35 basis points.

Executive Vice President for Treasury, Finance, and Planning at SM Investments Corporation, Erwin G. Pato, stated, "This landmark transaction represents a major milestone for both SM Investments and the Philippine capital markets. The strong demand from investors reflects confidence in Philippine corporate issuers and underscores SM's reputation as a stable and well-managed investment option."

The bond issuance by SM Investments garnered significant investor interest, a result of the relative scarcity of corporate bond issues from the Philippines in recent years. This issuance is also SM Investments' first since the USD 350 million 10-year note back in June 2014, emphasizing the company's ability to attract funding in a challenging market environment.

Leading global financial institutions, including HSBC, JP Morgan, Standard Chartered, and UBS, acted as joint lead managers and joint bookrunners for this successful transaction. Additionally, BDO Capital and Chinabank Capital participated as joint lead managers, underscoring the broad support from prominent entities in the financial sector.

The recognition from IFR Asia, a highly respected source for insights in capital markets and investment banking, adds credibility to SM Investments’ achievement, solidifying its status as a leader in the capital markets.

Beyond just financial metrics, SM Investments represents a pillar of stability in the Philippine corporate sector. With its diverse portfolio that spans retail, banking, and property development, the company is well-positioned to navigate the complexities of the emerging Philippine economy.

To further elaborate, SM Investments is recognized as a leader in various sectors. Its retail operations are the largest in the Philippines, encompassing grocery stores, department stores, and specialty retail outlets. Furthermore, SM Prime Holdings, Inc., the property arm of SM Investments, is the largest integrated property developer in the nation, with diverse developments in malls, residences, offices, hotels, and convention centers, along with projects in tourism-related properties.

The company’s involvement in banking through BDO Unibank, the largest bank in the Philippines, and China Banking Corporation, the country’s fourth largest private domestic bank, further strengthens its financial position and market influence.

In conclusion, SM Investments' recent achievement stands as a testament to its unwavering commitment to financial excellence and its pivotal role in enhancing investor confidence in the Philippine market. As it continues to seize opportunities in a growing economy, the company is expected to play a crucial part in shaping the future of capital markets in the Philippines. For additional information on SM Investments Corporation, visit their official website at www.sminvestments.com.