RCBC raises P16.6B from bond sale

Yuchengco-led Rizal Commercial Banking Corp. has raised P16.6 billion from a new local bond offering which was warmly received by the cash-awash local financial market.

The two-year bonds were issued at a coupon rate of 3.25 percent per annum.

RCBC closed its latest bond offering on July 15 – two days ahead of the original deadline – as orders reached more than five times its announced minimum issue size of P3 billion, the bank disclosed to the Philippine Stock Exchange on Thursday.

This will be the fifth tranche under RCBC’s P100-billion bond and commercial paper program established last March.

The latest bonds were offered in denominations of P100,000 and increments of P10,000 thereafter.

RCBC’s bonds are expected to be listed on the Philippine Dealing and Exchange Corp. (PDEx) on July 27.

Proceeds from the offering will be used to support RCBC’s asset growth, refinance maturing liabilities, and fund other general purposes.

ING Bank N.V. Manila branch acted as the sole lead arranger and bookrunner for the offer, while RCBC Capital Corp. was the financial advisor. The selling agents were ING and RCBC.