BDO notes pricing draws heavy orders
The offer, made under BDO’s Medium Term Note Program, was more than 3.2 times oversubscribed. The Senior Notes are expected to be rated ‘Baa2’ by Moody’s, with settlement scheduled for 3 December.
As of the first quarter of 2025, BDO Unibank was ranked the Philippines’ largest bank based on various metrics, including total assets, customer loans, and deposits. BDO led the industry with P4.83 trillion in total assets in the first quarter of 2025 and maintained the lead in total loans, with P3.25 trillion issued in the first quarter of 2025. It also had the most deposits, totaling P3.84 trillion in the first quarter. In its 2025 report, Brand Finance Philippines, the local operator of the world’s leading independent brand valuation consultancy, recognized BDO as the Philippines’ most valuable brand for the second consecutive year, with a brand value of $3.7 billion.
PHOTOGRAPH COURTESY OF BDO
Sy family-led BDO Unibank Inc. (BDO) has locked in longer-term funding at a fixed cost after pricing its $500-million, five-year Senior Notes at 4.375 percent per annum, a level that drew robust demand and generated an order book of about $1.6 billion.
In a disclosure on Wednesday, the bank said the offer, made under its Medium Term Note Program, was more than 3.2 times oversubscribed.
Rated ‘Baaa’ by Moody’s
The Senior Notes are expected to be rated “Baa2” by Moody’s, with settlement scheduled for 3 December.
BDO said the issuance supports its liability management strategy by enabling the bank to secure fixed-rate funding for its lending operations and general corporate purposes.
Standard Chartered Bank served as sole global coordinator, while Standard Chartered Bank, MUFG, and Wells Fargo Securities acted as joint bookrunners and joint lead managers.
Four percent increase in net income
From January to September, BDO posted a four percent increase in net income to P63.1 billion from P60.6 billion a year earlier, driven by strong performance across its core businesses and ongoing investments in technology and branch expansion.
As the year closes, the bank expects the local economy to remain resilient despite global trade pressures and domestic political uncertainties. Its solid capital base and diversified portfolio position it to manage risks and seize growth opportunities.
As of the end of September, the company’s asset quality remained stable, with a 1.77-percent NPL ratio and 134-percent NPL coverage.
Shareholders’ equity rose 10 percent, lifting book value per share to P116.42, while the CET1 ratio improved to 14.4 percent from 14.1 percent last year.