SMC Global Power Holdings Corp. is seeking to raise $100 million from the issuance of perpetual securities to finance its combined cycle power plant project in Batangas.

The subsidiary of San Miguel Corp., (SMC) in a disclosure to the Philippine Dealing and Exchange Corp., said its board of directors approved the issuance of additional senior perpetual capital securities of at least $100,000,000 "or such other amount as management may determine."

The planned issuance is "subject to prevailing market conditions and as may be advantageous to the corporation."

"It will be constituted by a supplemental trust deed, which shall supplement the trust deed of the original securities, and listed in the Singapore Exchange Securities Trading Limited (SGX-ST)," it added.

Proceeds will be used primarily for investments in the 1,313.1-megawatt Batangas Combined Cycle Power Plant and related assets or for general corporate purposes.

For this transaction, Standard Chartered Bank and Mizuho Securities Asia Ltd. acted as joint lead managers, and DB Trustees (Hong Kong) Ltd. as trustee.

Deutsche Bank AG, Hong Kong Branch served as paying agent, and Latham and Watkins as listing agent.

Early in June, SMC Global Power issued $600-million worth of senior perpetual capital securities, also intended for its planned combined cycle power plant. These securities carried an initial rate of distribution of 5.45 percent a year.

SMC previously said it was veering away from coal-fired power projects in favor of renewable energy and gas projects.

SMC President Ramon Ang had said the company was moving away from building new coal facilities despite new technologies that make them cleaner. "It's a company direction that is in line with all the major sustainability initiatives we have undertaken these past couple of years."