Universal lender Security Bank Corp. will issue peso-denominated fixed-rate bonds worth P5 billion with an option to upsize. In a Philippine Stock Exchange report, Security Bank said proceeds of the bond sale will be used to fund its lending activities and expand financial resources.
The bank set the bonds’ tenor at five years and one month and the rate at 5.7000 per annum.
The bond offer requires a minimum investment of P100,000 and allows increments of P10,000.
The bonds will be offered from 8 July to 13 August. They will be available for secondary-market investors through their listing in the Philippine Dealing and Exchange Corp. on 20 August.
P200-B bond plan
The new bond offer is part of the bank’s P200-billion bond and commercial papers program.
The Philippine Commercial Capital Inc. and SB Capital Investment Corp. will serve as joint bookrunners, joint lead arrangers, and selling agents for this issuance.
“We’re confident this offering will deliver value to our clients looking to invest in a high-quality instrument with attractive returns,” Security Bank head of financial markets Arnold Bengco said.
In the first quarter, Security Bank saw higher consumer loans as it posted 46 percent growth in auto loans, and 18 percent in home loans compared to the same period last year.
Credit card transactions also surged by 49 percent.
Meanwhile, loans for micro, small, and medium enterprises jumped by 71 percent from the level recorded in the last quarter of 2023.