BANK of the Philippine Islands (BPI) is looking to raise at least P5 billion from its offer of 1.5-year peso-denominated sustainable bonds, it said on Thursday.
“The net proceeds of the offer will be used for the financing or refinancing of new or existing eligible green and/or social projects as defined under, and consistent with, BPI’s Sustainable Funding Framework,” the bank said in a disclosure to the stock exchange.
BPI will offer the bonds at a minimum investment amount of P500,000 with additional increments of P100,000.
The bank has the option to upsize the issue, it said.
The offer period will run from July 18 to Aug. 2, unless adjusted by the lender. The bonds are expected to be issued and listed with the Philippine Dealing and Exchange Corp. on Aug. 9, the bank said.
BPI Capital Corp. and Standard Chartered Bank were tapped to be the joint lead arrangers and selling agents for the offer.
The bank said it submitted an application for confirmation of the “ASEAN Sustainable” label with the Securities and Exchange Commission on June 28 and is still waiting for confirmation from the regulator.
The bonds will mark the third issuance out of BPI’s P100-billion bond program, which was approved by its board in May 2022.
The last offering under the program was in October 2023, from which BPI raised P36.66 billion from 1.5-year fixed-rate bonds, higher than the initial target of P5 billion. The notes were priced at 6.425% per annum.
BPI said it would use the issue’s proceeds for general corporate purposes, including funding source diversification.
The listed bank saw its net income grow by 25.8% year on year to P15.3 billion in the first quarter as higher revenues helped offset increased provisions and expenses.
BPI shares rose by P1.60 or 1.37% to end at P118.30 apiece on Thursday. — AMCS
