Philippines: BDO Unibank raising $700m via notes issue

Visual from SM Investments website.

BDO Unibank Inc is raising $700 million through a senior notes issue, the largest single issuance by a Philippine bank.

BDO is set to issue the amount in fixed rate senior notes under its Medium Term Note (MTN) programme.

This will be the second drawdown under the programme following the $300 million issued in October last year.

“The senior note issue is part of the bank’s liability management initiatives to tap longer-term funding sources to support BDO’s lending operations and general corporate purposes,” BDO said in its statement.

The notes will have a coupon of 2.950 per cent and will be issued at a price of 99.909 per 100, with a maturity of 5.5 years.

Moody’s rated the bonds even as the transaction was overwhelmingly oversubscribed, with orders reaching $2.2 billion settlement will be on September 6, 2017.

“With a wide distribution across Asia Pacific and Europe, this transaction represents the largest single issuance by a Philippine bank to date,” BDO noted.

BofA Merrill Lynch, HSBC and Wells Fargo Securities acted as joint lead managers and joint book runners, while Mizuho Securities and MUFG acted as co-managers for the transaction.

The Sy-led full-service universal bank has one of the largest distribution networks, with more than 1,100 operating branches and over 3,800 ATMs nationwide.

It also has a full-service branch in Hong Kong as well as 26 overseas remittance and representative offices in Asia, Europe, North America and the Middle East.

BDO last traded at P127.10 per share on Thursday, August 31.

Also Read:

BDO closes largest equity capital raise in Philippines at $1.2b

Philippine based BDO Unibank acquires ONB rural bank

Philippines: BDO Unibank unit inks JV financing with Mitsubishi Motors, SJC, JACCS

Nomura, BDO form new brokerage firm

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.