Bank of the Philippine Islands, the country’s third largest lender by assets, announced Monday it signed a $300-million, 3-year syndicated term loan facility with The Hongkong and Shanghai Banking Corp. Ltd and Standard Chartered Bank that will partially refinance a maturing bond issue.
The two foreign banks were mandated by BPI as lead arrangers, bookrunners and underwriters of the loan facility, which was upsized from $200 million due to strong syndication reception that resulted in more than twice the oversubscription.
“BPI is extremely pleased with the strong level of support that this transaction has received during syndication. We are highly appreciative of the seamless delivery that the two (foreign banks) have provided in assisting BPI achieve this outcome and further extend our thanks to the diverse banking group who have joined this very important transaction for our institution,” said BPI chief finance officer and chief sustainability officer Eric Roberto Luchangco.
The facility is supported by a total of twenty-one lenders, including HSBC and Standard Chartered Bank and nineteen participating lenders. HSBC is the lead agent.
Proceeds will be used to partly refinance BPI’s existing $600 million bond due in September, as well as for general corporate purposes.
