BANK of the Philippine Islands (BPI) wants to raise at least P5 billion in fresh funds from an offering of sustainability bonds that it plans to launch late in November.
The bank will offer and issue P5 billion in peso-denominated fixed-rate BPI Sustainable Impact Building Our Legacy or SIBOL Bonds with a tenor of one year and nine months, with an option to upsize, it said in a disclosure to the stock exchange on Monday.
The public offer period is set to start on Nov. 23 and run until Dec. 4, unless changed by the bank and the offer’s lead arrangers and selling agents. The bonds are expected to be issued and listed on the Philippine Dealing & Exchange Corp. on Dec. 16.
The papers will mark the third tranche of BPI’s P200-billion bond and commercial paper program approved in October 2024.
“BPI will channel the net proceeds of the offer into financing or refinancing eligible green and social projects in accordance with its Sustainable Funding Framework, consistent with the ASEAN Sustainability Bond Standards,” the bank said.
“In celebration of its 175th anniversary, BPI builds on its enduring legacy through this BPI SIBOL Bonds offering with a 1.75-year tenor, symbolizing its 175 years of service and unwavering commitment to its customers, communities, and the country’s progress,” it added.
The Securities and Exchange Commission on Oct. 20 authorized the use of the ASEAN Sustainability Bond label for the BPI SIBOL Bonds.
BPI Capital Corp. and ING Bank N.V. Manila Branch are the joint lead arrangers and selling agents for the transaction.
The bank has already issued P90 billion in bonds out of its P200-billion peso fundraising program.
BPI last tapped the domestic market in January, raising P50 billion from its two-year Supporting Individuals Grow, Lead, and Achieve or SIGLA Bonds that were priced at 5.405% per annum. This was well above the P5-billion plan and marked its largest peso bond issuance to date.
In May 2024, the bank also issued P40 billion in 1.5-year Supporting Inclusion, Nature, and Growth or SINAG Bonds with an interest rate of 5.85% per annum. These are set to mature in December this year.
BPI posted a net income of P48.9 billion for the first nine months of 2026, backed by robust loan growth and fee-based revenues.
Its shares dropped by P3.20 or 3.3% to close at P93.80 each on Monday. — Bettina V. Roc