BDO raises P115B in ASEAN sustainability bond sale

BDO Unibank Inc. has raised P115 billion in its fourth Peso-denominated ASEAN Sustainability Bond offering, after overwhelming investor demand forced an early close to the public offer period.

Originally targeted at just P5 billion, the bond issue was 23 times oversubscribed, with strong participation from both retail and institutional investors. The offering, which opened on 9 July, was supposed to run until 22 July, but was closed early on July 14 due to the surge in demand.

"The Bank’s latest ASEAN Sustainability Bond has a tenor of one-and-a-half (1.5) years and a coupon rate of 5.875 percent per annum. The issue, settlement, and listing date is on 29 July 2025," BDO said in a statement.

Proceeds from the bond sale will be used to finance or refinance eligible assets aligned with BDO’s Sustainable Finance Framework, support lending activities, and help diversify the bank’s funding sources.

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