San Miguel secures P100-B loan for MRT7 project

Conglomerate San Miguel Corporation, through its infrastructure arm, has secured a P100-billion syndicated loan agreement with a consortium of major Philippine financial institutions to further bankroll the ongoing Metro Rail Transit 7 (MRT7) project.

The consortium is composed of BDO Unibank, Philippine National Bank (PNB), Bank of Commerce (BankCom), Security Bank, and the Government Service Insurance System (GSIS).

The loan will help speed up the construction of MRT7, SMC said, as the completion rate stood at 61.92% as of June 14, 2023.

"MRT7 will generate countless jobs, boost local economies, and create more opportunities for so many Filipinos. We are grateful to our lenders as this facility will allow us to remain on track to meeting our target to start operations in 2025, bringing us closer to a future where Filipinos can reap the benefits of enhanced mobility and accessibility," said SMC president and CEO Ramon Ang.

Meanwhile, the lead arrangers and bookrunners for the transaction are BDO Capital & Investment Corp., PNB Capital and Investment Corp., SB Capital Investment Corp., and BankCom-Investment Banking Group.

The MRT7 project will have 14 stations, namely: Quezon North Avenue Joint Station; Quezon Memorial Circle; University Avenue; Tandang Sora; Don Antonio; Batasan; Manggahan; Dona Carmen; Regalado; Mindanao Avenue; Quirino; Sacred Heart; Tala; and San Jose del Monte.

It can accommodate 300,000 passengers in its first year of operations, and up to 850,000 passengers daily in its 12th year, according to SMC.

The project will also feature an intermodal transportation hub catering to other types of public transportation as well as a 19-kilometer highway from San Jose del Monte to Bocaue, Bulacan. —VBL, GMA Integrated News