BDO seeks to raise at least P5 billion from latest sustainability bond of-fer

BDO UNIBANK, Inc. (BDO) wants to raise at least P5 billion through an offering of sustainability bonds.

The bank on Wednesday kicked off the public offer period for its three-year ASEAN Sustainability Bonds, it said in a disclosure to the stock exchange.

“The net proceeds will be used to support the bank’s lending activities and diversify funding sources and will be used and/or allocated by the bank to finance and/or refinance eligible assets as defined in the bank’s Sustainable Finance Framework,” it said.

The papers carry a coupon rate of 5.7125% per annum.

They are being offered at a minimum investment amount of P500,000 and in additional increments of P100,000 thereafter.

The offering is scheduled to end on Jan. 19, unless adjusted by the bank. The bonds will be issued, settled, and listed on the Philippine Dealing and Exchange Corp. on Jan. 26.

BDO said the Securities and Exchange Commission has confirmed that the issuance complies with requirements under the ASEAN Sustainability Bond Standards and the SEC ASEAN Sustainability Bond Circular.

Standard Chartered Bank is the sole arranger for the transaction and is also a selling agent along with BDO. BDO Capital and Investment Corp. is the financial advisor.

The latest offering marks BDO’s fifth peso-denominated ASEAN Sustainability Bond issue. The bank has issued a total of P286.7 billion in sustainability bonds since January 2022.

It last tapped the domestic market in July last year via its fourth ASEAN Sustainability Bond issuance, raising P115 billion via 1.5-year papers, well above the initial P5-billion plan and marking the largest peso bond issuance in the country to date.

BDO’s attributable net income rose 6.1% year on year to P22.47 billion in the third quarter of 2025 on the sustained expansion of its core businesses.

This brought its nine-month earnings to P63.09 billion, 4.07% higher than a year earlier.

Its shares dropped by 60 centavos or 0.42% to close at P143 apiece on Wednesday. — A.M.C. Sy