BDO Unibank Inc., the country’s largest lender by assets, on Wednesday cut short the offer period for its second ASEAN Sustainability Bond issue due to strong demand from both retail and institutional investors.
BDO closed the offer on Tuesday, a week earlier than originally scheduled on 22 January.
The peso-denominated Sustainability bonds bear a coupon rate of 6.025 percent and are due in one-and-a-half years. The issue, settlement, and listing date will be on 29 January 2024.
The minimum size of the bond was set at P5 billion but its final size will likely be larger given the strong demand. The maiden ASEAN Sustainability Bond issued in January 2022 had a final size of P52.7 billion.
The net proceeds of the issuance are intended to diversify BDO’s funding sources, and finance or refinance eligible assets as defined in the bank’s Sustainable Finance Framework.
Standard Chartered Bank was the issue’s sole arranger, while BDO Unibank, Inc. and Standard Chartered Bank were the selling gaents, and BDO Capital & Investment Corp. was the financial advisor.
