BDO shortens ASEAN sustainability bond offer period due to strong demand

BDO Unibank, Inc. has closed the offer period for its fourth peso-denominated ASEAN Sustainability Bonds ahead of schedule due to strong investor interest, the bank announced on Monday.

Initially set to run from 9 to 22 July 2025, the offering concluded early on 14 July following what the bank described as overwhelming demand from both retail and institutional investors.

The bonds, which have a tenor of 1.5 years, carry a fixed coupon rate of 5.875% per annum. The issue, settlement, and listing date is set for 29 July 2025.

According to BDO, net proceeds from the issuance will be used to finance or refinance eligible assets under the bank’s Sustainable Finance Framework. The funds will support the bank’s sustainable lending activities while also diversifying its funding base.

ING Bank N.V., Manila Branch served as Sole Arranger and Sustainability Coordinator. BDO Unibank, Inc. and ING acted as Selling Agents, while BDO Capital & Investment Corporation served as Financial Advisor.

This marks the bank’s fourth issuance under its sustainability bond program, which aims to bolster the country’s transition toward a greener and more inclusive economy.