By Marisa Wong
Madison, Wis., June 27 - Banco De Oro Unibank, Inc. announced it issued PHP 8.5 billion of subordinated tier 2 notes on Monday.
The issuer previously increased the issue size to at least PHP 8 billion from PHP 5 billion. The offer period for the notes began on June 6 and closed on June 15, two days ahead of the originally scheduled close of June 17 due to oversubscription from retail and institutional investors.
The notes were priced with a 6½% coupon and will have a maturity of 10 years and three months. A call option is exercisable after five years. As previously announced, the indicative interest rate is based on the 10-year PDST-F benchmark. Interest will be payable quarterly.
Deutsche Bank AG, Manila Branch and the Hongkong and Shanghai Banking Corp. Ltd. were the joint lead arrangers and selling agents. Multinational Investment Bancorp. was also a selling agent for the notes, and Banco De Oro, BDO Private Bank and BDO Capital were limited selling agents.
Proceeds will be used to fund expansion plans and to enhance the bank's capital adequacy ratio.
Banco de Oro is a lender based in Mandaluyong City, the Philippines, and is owned by SM Investments Corp.
| Issuer: | Banco De Oro Unibank, Inc.
|
| Issue: | Subordinated tier 2 notes
|
| Amount: | PHP 8.5 billion
|
| Maturity: | 10 years and three months
|
| Coupon: | 6½%
|
| Call option: | After five years
|
| Agents: | Deutsche Bank AG, Manila Branch and the Hongkong and Shanghai Banking Corp. Ltd. (joint lead arrangers and selling agents); Multinational Investment Bancorp. (selling agent); Banco De Oro, BDO Private Bank and BDO Capital (limited selling agents)
|
| Pricing date: | June 15
|
| Settlement date: | June 27
|
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