PBCom to raise up to P5 billion from LTNCDs

Philippine Bank of Communications (PBCom) is set to raise up to P5 billion by selling peso-denominated long-term negotiable certificates of time deposit (LTNCD).
In a disclosure to the local bourse Thursday, May 24, the listed bank said its executive committee approved the filing of the application for issuance of up to P5 billion in one or more tranches.
The offering still requires approval from the Bangko Sentral ng Pilipinas.
“The purpose of the issuance is for general corporate funding, especially long-term funding,” PBCom said in the regulatory filing.
LTNCDs are similar to regular time deposits which offer higher interest rates. However these cannot be pre-terminated. Being “negotiable” means these can be sold at the secondary market prior to maturity date. — Karl Angelo N. Vidal