Daily TribuneThese are part of the bank’s P50-billion bond program classified into one-and-a-half bonds and three-year bonds; the bonds have interest rates of 6.5625 percent and 6.68 percent, respectively and their offer period runs until 29 November
Union Bank of the Philippines, or UnionBank, is offering two tranches of fixed-rate peso bonds with a minimum aggregate amount of P1 billion each.
These are part of the bank's P50-billion bond program classified into one-and-a-half bonds and three-year bonds, UnionBank's disclosure to the Philippine Stock Exchange revealed Monday.
Might exceed P1B
The bonds have interest rates of 6.5625 percent and 6.68 percent, respectively. Their offer period runs until 29 November.
Depending on the investors' demand, UnionBank said it may exceed the P1-billion minimum bond value for each tranche.
As another option, the bank added investors can exchange their P8.115-billion Series C bonds with 2.75 percent interest rate for the new bonds until 24 November.
"Any interest accruing to the exchangeable bonds from the date of the last interest payment up to and including the issue date of the new bonds will be paid on 4 December," UnionBank said.
Slated for offer
The more recently launched bonds are slated for offer at the secondary market the following day.
UnionBank posted a net income of P8.1 billion in the first nine months this year as it expanded its loan portfolio by 18 percent. Net interest income jumped by 34 percent to P37.3 billion.
Meanwhile, operating costs surged by 63 percent, following UnionBank's acquisition of Citi's credit card business and continuous enhancement of its digital bank called UnionDigital Bank.
