Metrobank lists P35-B sustainability bonds on PDEx
Metropolitan Bank & Trust Co. (Metrobank) has listed P35 billion worth of Asean (Association of Southeast Asian Nations) sustainability bonds on the Philippine Dealing & Exchange Corp. (PDEx). This is the bank’s largest peso bond issuance to date.
The Ty family-led firm disclosed on Tuesday that the Series F peso-denominated fixed-rate bonds carry a tenor of one and a half years. They offer an interest rate of 5.4727 percent a year.
The issuance drew strong demand from both institutional and retail investors. Total orders reached seven times the base offer size of P5 billion.
Due to the robust appetite, the public offer period was cut short, closing on March 23, ahead of the original schedule of March 17 to March 30.
Metrobank said proceeds from the bond sale would be used to diversify its funding sources and support lending activities.
In line with its Sustainable Finance Framework (SFF), the funds will be allocated to finance or refinance eligible green and social assets. These include projects that promote environmental sustainability and inclusive growth.
Moody’s Ratings has assigned the SFF a sustainability quality score of “very good.” This indicates strong alignment with global standards and measurable environmental and social objectives.
“We are encouraged by the strong response to this issuance, which reflects the trust our clients and partners continue to place in Metrobank,” said John Lu, head of the treasury group.
“It also highlights the growing demand for investments that deliver not only financial returns, but also meaningful and lasting impact,” Lu said.
First Metro Investment Corp., ING Bank N.V. Manila Branch and Standard Chartered Bank acted as joint lead managers and joint bookrunners. They also served as selling agents. ING also acted as sustainability coordinator for the transaction.
