Strong investor demand drives BankCom’s P17.4B bond sale

Strong demand from retail and institutional investors enabled Bank of Commerce (BankCom) to raise P17.4 billion from its latest peso bond offering, exceeding the minimum issue size of P5 billion by more than 3.4 times.

The dual-tranche bonds were listed on the Philippine Dealing & Exchange Corp. on 11 November, marking the fourth issuance under the bank’s updated P80-billion Peso Bond Programme.

The offering consisted of P9.3 billion in Series E bonds due 2028, carrying a fixed interest rate of 6.9882% annually, and P8.1 billion in Series F bonds due 2029, with a rate of 7.6563%.

“We are grateful for the continued support from our investors. The success of this offering, with an oversubscription of over 3.4 times, particularly amid a challenging market backdrop, reflects continued confidence in BankCom’s fundamentals and strategy,” BankCom President Michelangelo Aguilar said.

The proceeds will support the bank’s balance sheet management, diversify its funding sources and finance general corporate requirements.

“The tremendous result of this issuance reinforces the depth of support for BankCom in the domestic capital markets. It also provides us with additional flexibility to manage our balance sheet, diversify our funding base and support the continued expansion of our banking franchise,” Aguilar added.

For the six months ended 30 June 2026, BankCom posted a net income of P2.11 billion, up 13% from the same period last year.

The bank also recorded return on equity of 11.56% and return on assets of 1.47%, driven by core banking performance and client-related foreign exchange gains.

The bonds have tenors of 1.5 years and three years, with interest payable quarterly. The minimum investment was P100,000, with additional investments in increments of P50,000.

ING Bank N.V. Manila Branch, Philippine Commercial Capital Inc., Security Bank Capital Investment Corp. and Standard Chartered Bank served as joint lead arrangers and joint bookrunners.