SMC raises P48.86B in preferred shares, pioneers first exchange offer by a Philippine firm

Metro Manila, Philippines - San Miguel Corporation (SMC) listed a combined P48.86 billion worth of preferred shares at the Philippine Stock Exchange, marking the country’s first-ever preferred share exchange offer by a private company alongside a public offer.

The conglomerate’s P18.86 billion exchange offer covered its Series 2-P, 2-Q, and 2-R preferred shares, allowing holders of its Series 2-J and 2-K shares to swap their investments on a one-for-one basis instead of waiting for redemption.

The move introduces greater flexibility and liquidity for investors, an innovation in the local capital markets traditionally limited to straightforward redemptions.

A total of 251.47 million shares were tendered under the exchange offer, comprising 173.76 million Series 2-J and 77.71 million Series 2-K shares. The remaining 92.91 million Series 2-J and 106.19 million Series 2-K shares will be redeemed on October 29 and December 10, 2025, respectively.

At the same time, SMC launched P30 billion public offer of preferred shares—Series 2-S, 2-T, and 2-U—consisting of a P20 billion base offer and a P10 billion oversubscription option, priced at P75 per share which was fully subscribed.

SMC said the twin offerings are part of its broader strategy to align capital structure with long-term value creation and to give investors more avenues to participate in its growth.

The company, one of the Philippines’ largest and most diversified conglomerates, is invested in industries essential to nation-building and remains among the most active corporate issuers in the domestic capital markets.