MANILA, Philippines — Philippine Savings Bank (PSBank) is raising another P3 billion from the domestic debt market through the issuance of fixed rate bonds.
“We firmly believe that this bond issuance comes at a most opportune time — at the beginning of an exciting new year and decade, most especially for individual and institutional investors who are looking at new investment alternatives,” PSBank president Jose Vicente Alde said.
He said the bank remains fully committed to upgrading its industry-leading products, services, and offerings for the maximum benefit of its customers.
The fund raising activity involves the issuance of bonds with a tenor of three years priced at 4.5 percent per annum. Offer period started yesterday and is scheduled to end on Jan. 21.
The listed bank has an option to upsize the volume of the fund raising activity. The bonds will be listed on the Philippine Dealing Exchange Corp. (PDEX) on Feb. 4.
Standard Chartered Bank is the sole arranger and the primary selling agent of the bond offer, with PSBank, Metrobank, and First Metro Investment Corp. (FMIC) as other authorized selling agents.
The PSBank peso fixed-rate bond will require a minimum of P500,000 from investors, with increments of P100,000 thereafter.
In July, the mid-sized bank successfully raised P6.3 billion after completing its maiden peso fixed rate bond issuance. The amount was twice the original offer size of P3 billion.
PSBank has launched a P40 billion funding program to access long-term funding as it expands its consumer banking business and at the same time diversify its funding base.
The net income of PSBank went up by 8.4 percent to P2.2 billion from January to September last year after booking a 20.1 percent jump in earnings in the third quarter alone to P813 million.
The thrift bank has 250 branches and 559 ATMs nationwide.