Lists the PHP23.7 billion bonds due 2024 on PDEx Metrobank receives strong demand for its bond offer

Metrobank lists PHP23.7 B bonds due 2024 on PDEx. In photo (1st row, from left) PDEx President and CEO Antonino Nakpil; SCB CEO Lynette Ortiz; Metrobank SVP and Markets Sales Group Head Rommel Dionisio; FMIC President and Director Jose Patricio Dumlao; (2nd row) FMIC EVP and Head of Investment Banking Group Daniel Camacho; SCB Director for Capital Markets Nikkolas Tolentino; FMIC FVP and Head of Debt Capital Markets Wesley Peralta; ING VP and Head of Global Capital Markets Miguel Jauregui; (3rd row) Metrobank Head of Investor Relations Minda Olonan; Metrobank SVP and Branch Banking Group Head Lita Tan; SCB Head of Financing and Securities Services Hannah Nunez; and Metrobank FVP and Asset Liability Management Division Head Elmer Mercado.

Metropolitan Bank & Trust Co. (Metrobank) lists the PHP23.7 billion fixed-rate bonds it recently raised on the Philippine Dealings and Exchange Corp. (PDEx).

Due to strong demand, the bond offering raised more than two times the intended issue size. This also prompted the Bank to shorten its offer period for the 1.5-year bonds.

“The overwhelming response to our bond offering affirms that despite the uncertainties, there is still strong demand for high quality issuers like Metrobank. Thank you to our loyal customers for sixty years of trust,” said Fernand Antonio Tansingco, Metrobank Senior Executive Vice President and Head of Financial Markets Sector. Metrobank celebrated its 60th anniversary this year.

“The demand from both retail and corporate clients prompted us to increase our initial bond offering by more than two times beyond the PHP10 billion we announced to meet the very strong interest. The funds raised will mainly be used for the Bank’s general capital requirements, including refinancing of some maturing issuances,” he added.

For his part, PDEx President and CEO Antonino Nakpil, said: “It is fitting that Metrobank, the bank that pioneered bond issuance post the change in BSP regulations back in 2018, is the one that pushes the level of annual bond listings above the PHP400 billion milestone.”

“The primary market is the bright spot for 2022 with the issuer community really showing that it is back with a vengeance after a lackluster 2021. Corporate and bank issuers have kept the wheels of public financing rolling and domestic investors have reciprocated with more than ample funds. Today’s issue was 2.37 times larger than the original PHP10 billion planned, again reflecting the continuous confidence of Metrobank’s bondholders,” Mr. Nakpil added.

The bonds will mature in 2024 and carry a coupon rate of 5% gross per annum, payable quarterly.

Metrobank’s bond sale is part of its increased PHP200 billion Bond and Commercial Paper Program, which was approved by its Board of Directors last 15 December 2021.

First Metro Investment Corporation (First Metro), ING Bank N.V., Manila Branch (ING), and Standard Chartered Bank (SCB) are the Joint Lead Managers and Joint bookrunners of the offer. Metrobank, together with First Metro, ING, and SCB, are the Selling Agents of this issuance.