SMC seeks SEC okay for SMFB FOO
San Miguel Food and Beverage, Inc. (SMFB), the food and beverage flagship of conglomerate San Miguel Corporation (SMC), is seeking the permission of the Securities and Exchange Commission (SEC) for its planned 1142 billion follow-on offering (FOO).
Documents filed with the SEC show, SMC is planning to offerof 1.02 million common SMFB shares, consisting of 887 million secondary shares with an over-allotment option of up to 133.05 million shares at a maximum price of 1140 per share.
J.P. Morgan Securities Plc, Morgan Stanley Asia (Singapore) Pte. and UBS AG Singapore Branch as the joint global coordinators while Standard Chartered Bank is the financial adviser.
It has also name Deutsche Bank AG Hong Kong Branch and Goldman Sachs (Singapore) Pte. as joint bookrunners while BDO Capital & Investment Corporation and BPI Capital Corporation are the local lead underwriters.
SMC plans to sell the shares to institutional investors as well as local retail investors while a portion may also be offered to yet-unconfirmed cornerstone investors.
The FOO is targeted to be held from October 23 to 29 this year after the pricing on October 19.
SMFB said earlier that the price and terms of offer of the secondary shares will be determined by SMFB management and agreed with SMC.
SMC completed the consolidation of its food and beverage businesses last June 29, 2018, thus, the performance numbers reflect the consolidated financials on a comparative basis with last year.
San Miguel Brewery, Inc. (SMB) continued its solid performance delivering strong volumes for the first half driven by increased consumption of beer products nationwide.
SMB consolidated revenues reached 162.5 billion, 18 percent higher than the same period last year. Operating income rose 23 percent to 117.3 billion.
Ginebra San Miguel, Inc. (GSMI) also recorded a strong first semester performance as net income almost doubled from last year. Revenues and operating income rose 19 percent and 57 percent to 112 billion and 1862 million respectively from previous year.
Meanwhile, SMFB’s Food Group posted consolidated revenues of 162.9 billion, 12 percent higher mainly driven by the strong performance of Feeds, Poultry and Meats and the Branded Value-Added businesses. Operating income grew 6 percent to 14.7 billion.