SM Prime eyes debt mart for Ortigas venture

MANILA, Philippines - SM Prime Holdings Inc. is looking to tap the debt market to finance its entry into OCLP Holdings Inc., owners of strategic land bank areas in the Ortigas Business District that include Greenhills Shopping Center.

In an interview, SM Prime chief finance officer Jeffrey C. Lim said the company may resort to fundraising activities to finance its acquisition of stakes in the Fernando Ortigas group of OCLP.

“We can raise via debt, bonds,” Lim said. “We’re evaluating the funding alternatives. We have 30 days so we’ll see,” he added.

Lim, together with SM Investments Corp. chief finance officer Jose T. Sio, have recently been appointed to represent SM Group in the board of the Ortigas holding company.

Lim said the group is “still working on the details” of how much stake it intends to purchase in the Fernando Ortigas group in OCLP.

The company has earlier reported that is looking at buying out the shares of Fernando group.

In a text message to The STAR, SM Investments Corp. senior vice president and investor relations head Corazon Guidote said details of the proposed buyout are “still being threshed out.”

“The important thing now is we have the working and partnership agreement It’s a working relationship with the four parties working for the interest of the company,” Lim added.

SM Prime and Ayala Land Inc. in early November put an end to a two-year long rivalry over the Ortigas family’s holding firm as the two property giants entered into a partnership with their respective faction in the Ortigas clan.

For ALI’s part, chief finance officer Jaime Ysmael and commercial business group head Jose Jalandoni will represent the firm in the OCLP board.