LAND BANK of the Philippines (LANDBANK) is looking to raise at least P3 billion from two-year bonds to finance sustainable projects.
The fixed-rate bonds will be offered in denominations of P50,000 and in increments of P10,000 thereafter.
“With the pandemic posing both as a pressing challenge and opportunity, it strengthens LANDBANK’s commitment all the more, with a sharpened focus in supporting sectors and activities for sustainable recovery,” LANDBANK President and Chief Executive Officer Cecilia C. Borromeo said in her speech during the sustainability bonds’ virtual investors briefing held on Oct. 21.
The offer period will begin on Oct. 26 and run until Nov. 6. Listing at the Philippine Dealing and Exchange Corp. is scheduled on Nov. 17.
“LANDBANK will utilize the proceeds from the issuance to finance various loan programs that support sustainable projects such as green and social projects, as identified in LANDBANK’s Sustainable Finance Framework,” it said in a statement.
Classified under green projects include those geared to respond to climate change mitigation, biodiversity conservation, as well as pollution control, among others.
Meanwhile, social projects include basic infrastructure, food security, essential services, affordable housing, and employment generation, the lender said.
Standard Chartered Bank is the sole lead arranger and bookrunner for the transaction, and is also a selling agent alongside LANDBANK.
State-owned Development Bank of the Philippines, in November 2019, also raised P18.125 billion through sustainability bonds. — LWTN