Bank of the Philippine Islands has upsized the issue size of its Peso Fixed-Rate Bonds due 2024 to P20.3 billion over four times the initial target of P5.0 billion to meet strong investor demand.
In a disclosure to the Philippine Stock Exchange, the bank said the bonds, called BPI Reinforcing Inclusive Support for MSMEs Bonds (BPI RISE Bonds), have a term of 1.5 years.
The BPI RISE Bonds were issued under the Bank’s P100 billion Bond Program, approved by its Board of Directors on May 18, 2022.
The BPI RISE Bonds bear an interest rate of 5.75 percent per annum, payable quarterly, and are now tradable on the Philippine Dealing & Exchange Corp. (PDEx).
"We are grateful to our investors for their continued support and trust in BPI," said BPI President and CEO Jose Teodoro K. Limcaoco.
He added that, “We are also excited that the investments in the BPI RISE Bonds will help us empower micro, small, and medium enterprises to reach their full potential and succeed in their ventures.” “The success of the bond offering brings BPI one step closer to realizing our vision of building a better Philippines — one family, one community at a time,” Limcaoco noted.
The net proceeds of BPI’s offering will be used to finance or refinance the business requirements of eligible Micro, Small and Medium Enterprises (MSMEs), consistent with BPI’s Sustainable Funding Framework. Sustainalytics, a multi-awarded global ESG research, ratings, and data firm, conducted the pre-issuance asset review of BPI RISE Bonds.
BPI Capital Corporation (“BPI Capital”) and ING Bank N.V., Manila Branch, served as Joint Lead Arrangers of the offer. BPI Capital was the Sole Selling Agent.