PNB looks to raise at least P3B from dual-tenor bond offering

PHILIPPINE NATIONAL Bank (PNB) targets to raise at least P3 billion from an offering of dual-tenor sustainability bonds.

The bank will launch an offering of three-year and five-year fixed-rate sustainability bonds on Nov. 26 with an option to upsize, it said in a disclosure to the stock exchange on Wednesday.

The public offer period is set to run until Dec. 2, with the bonds scheduled to be issued and listed on the Philippine Dealing and Exchange Corp. on Dec. 11, subject to final management determination, market conditions, and other factors.

The offer will mark the first issuance under PNB’s P50-billion bond and commercial paper program approved earlier this year.

The bank intends to issue the notes as sustainability bonds in line with the ASEAN Sustainability Bond Standards, subject to application with and confirmation from the Securities and Exchange Commission on the use of the label.

Proceeds from the issue will help support PNB’s growth and to finance or refinance eligible assets under its Sustainability Financing Framework.

“This bond issuance reflects PNB’s commitment to responsible banking and sustainable growth. By channeling funds toward eligible green and social projects under our Sustainability Financing Framework, we aim to create long-term value for our stakeholders while contributing to the country’s sustainable development goals,” PNB President and Chief Executive Officer Edwin R. Bautista said.

“This offering also underscores our confidence in the market and our readiness to support the evolving needs of our customers and communities.”

The bank has tapped its investment banking arm PNB Capital and Investment Corp., ING Bank N.V. Manila Branch, and Standard Chartered Bank as the joint lead arrangers and bookrunners for the transaction. PNB, ING Bank and Standard Chartered will be the selling agents for the offering.

PNB saw its net income rise by 25.79% to P6 billion in the third quarter from P4.77 billion, backed by higher revenues. This brought its nine-month profit to P18.51 billion, up by 22.91% from P15.06 billion a year prior.

The bank’s shares went down by 10 centavos or 0.2% to close at P51.15 each on Wednesday. — A.M.C. Sy