MANILA - Local retail bond investors swamped the first local bond offering of the Sy group.

In a statement Monday, Sy-led holding firm SM Investments Corp. said it received investment commitments of up to P13 billion, prompting the bonds' joint underwriters to upsize to P10 billion its initial issue of P5 billion.

Institutional and retail investors bid for the bonds starting June 8. The bonds have an 8.25 percent per annum coupon rate for its Series A (5 years and 1 day) and 9.10 percent for its Series B (7 years).

Jose T. Sio, SMIC’s Executive Vice President and Chief Finance Officer, said, “We are extremely pleased and grateful that investors have responded positively to the SMIC bond issue.”

The SMIC bond was rated AAA by the Philippine Ratings Services Corp. Its lead underwriters are BDO Capital & Investment Corp., BPI Capital Corp., China Banking Corp., Union Bank of the Phils., and RCBC Capital Corp. Participating underwriters are United Coconut Planters Bank, Standard Chartered Bank, Land Bank of the Phils., Allied Banking Corp., First Metro Investment Corp., Amalgamated Investment Bancorporation, Multinational Investment Bancorporation, Vicsal Investment, Inc., and PNB Capital & Investment Corp.

The bonds’ offer period is scheduled to end June 18, while issue date is scheduled for June 25.

SMIC in engaged in real estate, shopping mall development, retail merchandising, banking and tourism.