BDO Unibank raises record P115 billion in ASEAN sustainability bond

BDO Unibank Inc. successfully raised a record P115 billion in its fourth Peso-denominated ASEAN Sustainability Bond offering, significantly exceeding its initial P5 billion target due to overwhelming investor demand.

The bond issue was 23 times oversubscribed, attracting strong interest from both retail and institutional investors, leading to the early closure of the public offer period on July 14, ahead of its original July 22 deadline.

The newly issued ASEAN Sustainability Bond has a tenor of 1.5 years and carries a coupon rate of 5.875 percent per annum, with settlement and listing scheduled for July 29.

Proceeds from this bond sale are intended to finance or refinance eligible assets aligned with BDO's Sustainable Finance Framework, support lending activities, and diversify the bank's funding sources.

ING Bank N.V. Manila branch acted as the sole arranger and sustainability coordinator for the transaction, with BDO and ING also serving as selling agents, and BDO Capital & Investment Corp. as financial advisor.