BDO Unibank is returning to the domestic bond market with its sixth ASEAN Sustainability Bond offering, seeking to raise at least PHP 5 billion, as reported by the Daily Tribune.

The peso-denominated fixed-rate bonds carry a 1.5-year tenor and a coupon rate of 6.26% per annum.

The offer period runs from 9 to 21 July, with issuance, settlement and listing scheduled for 28 July. The minimum investment amount is PHP 500,000, with additional increments of PHP 100,000.

This marks BDO’s second sustainability bond issuance this year.

It follows a P100 billion issue in January, which the bank had originally planned as a PHP 5 billion offering before investor demand pushed it to exercise its oversubscription option.

With this latest issuance, BDO has raised a cumulative PHP 386.7 billion through sustainability bonds across six offerings since January 2022.

BDO said proceeds will finance or refinance eligible assets under its Sustainable Finance Framework, support lending activities, and diversify the bank’s funding sources.

The Securities and Exchange Commission has confirmed the issuance complies with the ASEAN Sustainability Bond Standards and the SEC’s ASEAN Sustainability Bond Circular.

ING Bank N.V., Manila Branch is the sole arranger and sustainability coordinator for the offering. BDO and ING will serve as selling agents, while BDO Capital & Investment Corp. will act as financial adviser.

Featured image: Edited by Fintech News Philippines based on an image by BDO Unibank via Facebook.