CHINA Banking Corp. successfully raised P30 billion as investors gobbled up its maiden issue of peso fixed rate bonds.
The bonds were listed on the Philippine Dealing and Exchange Corp. on July 10, 2019.
China Bank upsized the amount to P30 billion from the initial target of P5 billion to accommodate strong investor demand.
This is one of the largest corporate bond issuances on a single issuance in the market to-date—a testament to the bank’s placement capabilities, solid client support and strong distribution reach.
The China Bank bonds, due in January 2021, carry an annual interest rate of 5.70 percent, which will be paid monthly.
This bond issue forms part of the bank’s planned P75-billion fund raising program for the next three years to support its expansion and strategic initiatives.
The bank is also looking at following this with the issuance of up to P20 billion worth of peso-denominated Long Term Negotiable Certificates of Time Deposits in the fourth quarter of the year, subject to the Central Bank’s approval and favorable market conditions. (PR)