PSBank aims to raise at least P2 billion in return to domestic bond mart
PHILIPPINE SAVINGS BANK (PSBank) is looking to raise at least P2 billion through an offering of two-year bonds, marking its return to the local debt market after five years.
The thrift banking arm of Metropolitan Bank & Trust Co. (Metrobank) began offering the bonds on Monday. The offer period is set to run until Friday (Aug. 8), unless adjusted by the bank.
PSBank will issue the peso-denominated fixed-rate bonds out of its P40-billion bond program, it said in a disclosure to the stock exchange.
“This will mark the third tranche under the program, following the P6.3-billion issuance in July 2019 and the P4.65-billion issuance in February 2020,” it said.
“Net proceeds will provide the bank with access to long-term funding to support its expansion initiatives and further diversify its funding sources,” PSBank added.
The bonds have a fixed interest rate of 5.875% per annum. They will be sold at a minimum investment amount of P100,000 and in additional increments in multiples of P10,000.
The bonds are scheduled to be issued and listed on the Philippine Dealing & Exchange Corp. on Aug. 18.
The thrift bank has mandated First Metro Investment Corp. and ING Bank N.V. Manila Branch as arrangers for the issuance.
They are also acting as selling agents for the offering, together with PSBank and Metrobank.
PSBank’s net income rose by 0.59% year on year to P1.21 billion in the first quarter amid continued loan growth and lower expenses.
Meanwhile, its listed parent Metrobank’s net profit increased by 8.44% to P12.59 billion in the second quarter from P11.61 billion in the same period last year, bringing its first-half earnings to P24.85 billion, up by 5.25% year on year.
PSBank’s shares closed Monday’s trading session unchanged at P58.50 apiece. — A.M.C. Sy
