CHINA BANK RAISES P20 BILLION IN FIXED-RATE BONDS

China Banking Corporation (“China Bank”, PSE: CHIB) successfully raised P20 billion from the issuance of its three-year fixed-rate Peso bonds, four times the original offer of P5 billion on the back of overwhelming demand from individual and institutional investors.

The bond issuance is the first from a financial institution in the country this year. The bonds are due in 2024 and carry an interest rate of 2.50% per annum, payable monthly.

“This successful issuance represents a strong start of the year for China Bank. We would like to extend our gratitude to our investors, customers, and everyone involved in this transaction for their continued trust in us,” said China Bank President William C. Whang.

“The strong demand we garnered underscores the investing public’s sustained confidence in China Bank amid these challenging times.”

The bond issuance is the second drawdown under China Bank’s P45 billion bond and commercial paper program established in September 2020. The proceeds from the offer will be used to support China Bank’s strategic initiatives and expansion programs.

In October 2020, the Bank successfully raised P15 billion in two-year bonds under the same program. China Bank Capital Corporation was the issue coordinator, structuring advisor, joint lead arranger and joint bookrunner for the issuance.

The Hongkong and Shanghai Banking Corporation Limited (HSBC) and Philippine Commercial Capital, Inc. (PCCI) were the joint lead arrangers, joint bookrunners, and selling agents for the transaction.

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