Bank of Commerce launches P5-B bond sale, offers up to 6.35% interest

Bank of Commerce, an affiliate of tycoon Ramon S. Ang's San Miguel Corp., has opened a public offer for dual-tranche fixed-rate bonds under its P50-billion peso bond program, targeting a minimum of P5 billion with an oversubscription option.  

The Series C bonds, due 2027, offer a fixed interest rate of 6.1942 percent per annum, while the Series D bonds, due 2030, offer 6.3494 percent per annum, with quarterly interest payments and a minimum investment of P100,000.

The public offer runs from Jan. 28 to Jan. 30, 2025, with issuance and listing on the Philippine Dealing & Exchange Corp. (PDEx) set for Feb. 19, 2025. 

Proceeds will be used to strengthen the bank’s balance sheet, diversify funding sources, and support general corporate purposes.

As of September 2024, BankCom reported a 10-percent increase in net income to P2.2 billion, driven by an 11- percent rise in net interest income and growth across all lending segments. 

Appointed joint lead arrangers and bookrunners include ING Bank, Philippine Commercial Capital Inc., Security Bank Capital, and Standard Chartered Bank, with BankCom also acting as a selling agent.