BDO launches P5B sustainability bonds

SY family-led BDO Unibank Inc. announced Monday the launch of its third peso-denominated fixed-rate sustainability bond offering with a minimum aggregate issue size of P5 billion.

The 1.5-year bonds carry a coupon rate of 6.325 percent per annum, with a minimum investment amount of P500,000 with increments of P100,000 thereafter.

The offer period started Monday and will end on July 24, 2024, which will also be the issue, settlement and listing date.

«The Securities and Exchange Commission (SEC) has confirmed that the proposed issuance complies with the requirements set forth under the Asean Sustainability Bond Standards and the SEC Asean Sustainability Bond Circular,» the bank said in a stock exchange filing.

Net proceeds from the bond issue «will be used to finance and/or refinance eligible assets as defined in the bank's Sustainable Finance Framework and diversify the bank's funding sources,» BDO said.

«BDO reserves the right to amend the terms and the timing of the issuance as it deems necessary,» the bank stressed.

ING Bank N.V. Manila branch (ING) was tapped as the sole arranger of the proposed issuance, with BDO also serving as the selling agent. BDO Capital and Investment Corp. was named the financial advisor for the transaction.