MANILA, Philippines — Sy-led China Banking Corp. is raising up to P50 billion through a funding program to bankroll its expansion plans and participate in the country’s massive infrastructure buildup.
The bank said the fund raising activity would be undertaken via a combination of long-term negotiable certificate of time deposits (LTNCDs), retail bonds and commercial papers.
Aside from funding its initiatives and expansion program, proceeds of the fund raising activities would help the bank participate in the government’s massive infrastructure program.
“This is in line with the bank’s intention to be an active participant in the ongoing economic expansion of the country and the government’s infrastructure initiatives,” China Bank said in a disclosure.
China Bank, founded in 1920, has 596 branches to date, including the 160 branches of its retail bank arm China Bank Savings.
It booked a double-digit 14.5 percent growth in earnings to P7.4 billion last year from P6.4 billion in 2016 on the back of sustained growth in core and fee-based businesses.
The bank’s net interest income rose 17 percent year-on-year to P20 billion, driven by the 17 percent growth in loan portfolio and stable net interest margin of 3.09 percent.
China Bank’s loan book jumped 16.7 percent to P454 billion last year from P389 billion in 2016 due to strong demand across all segments with consumer loans surging 25 percent and corporate loans rising 19 percent.