SM Investment Corp's shares slid noticeably for the first time in six weeks after the equity trading that sold US$150 million worth of shares that were offered at a discount. SM Investment Corporation is the holdings company of the Philippine billionaire and business magnate, Henry Sy. The Manila based conglomerate sold an estimated 7.25 million shares to institutional investors with a placement price of PHP900 each share. The Philippines' mega corporation said they sold more shares than expected due to the strong demand from investors. SM Investments Corp initially wanted to raise US$100 million from the public offering.
Managing director for Manila's First Grade Finance Inc., Astro del Castillo said, "The weakness in the share price is a reflection of the discount and the expanded float in relation to the share sale."
The SM Investment shares slid 5.4% to PHP910 during local trading. The drop was the largest loss since June 20 of this year. The stock drop was the biggest contributor to a loss in the Philippine Stock Exchange Index, which fell 0.4% at the closing of trading.
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