BDO Unibank launches second Asean sustainability bonds issue

BDO Unibank Inc. will again issue Peso-denominated Fixed-Rate Sustainability Bonds with a minimum aggregate issue size of P5 billion.

This marks the bank’s second Peso-denominated Sustainability Bond following a successful P52.7 billion issue in January 2022. The net proceeds of the latest issuance will be used to diversify the bank’s funding sources, and finance and/or refinance eligible assets as defined in the Bank’s Sustainable Finance Framework.

The proposed issuance has a tenor of one-and-a-half (1.5) years and bears a coupon rate of 6.025 percent per annum. The minimum investment amount is P500,000, with additional increments of P100,000 thereafter.

The offer period will run from Jan. 9 to 22, 2024, while the issue, settlement, and listing date will be on Jan. 29, 2024.

Standard Chartered Bank is the sole arranger of the proposed issuance, with BDO Unibank Inc. and Standard Chartered Bank as the selling agents, and BDO Capital and Investment Corp. as the financial advisor.