SMC seeks MRT-7 funding

MANILA, Philippines - Diversified con- glomerate San Miguel Corp. is in talks with local and foreign banks to raise the debt portion of the $1.6 billion needed for Metro Rail Transit Line 7 (MRT-7).

SMC chief financial officer and treasurer Ferdinand Constantino said the company has already received financing proposals from local and foreign banks to raise 70 percent of the project cost. The 30 percent will come from equity.

“The banks are ready to support the project,” Constantino told reporters on the sidelines of the  listing of SMC’s P20 billion fixed-rate bonds at the Philippine Dealing and Exchange Corp.

SMC is implementing the project through SMC Mass Rail Transit 7 Inc. which is under infrastructure subsidiary San Miguel Holdings Inc., with contractor Hyundai ROTEM and EEI consortium.

According to the plan, MRT-7 will have 14 stations which will rise along Quezon North Avenue, Quezon Memorial Circle, University Avenue, Tandang Sora, Don Antonio, Manggahan, Regalado, Mindanao Avenue, Quirino, Sacred Heart, Tala, and San Jose del Monte.

The proposed train line would link to Metro Rail Transit Line 3 (MRT-3), the system that runs from North Avenue station in Quezon City until Taft station in Pasay City. It will also have the provision to link to Light Transit Line 1 covering Roosevelt station in Quezon City until Baclaran station in Pasay.