Security Bank Issues PHP16-B Corporate Bonds

Yesterday marked the successful issuance of Fixed Rate Peso Corporate Bonds by Security Bank (PSE: SECB), which have a maturity date of 2024.

Photo Insert: The purpose of Security Bank's offering of the bonds is to bolster its lending activities and broaden its base of finance.

Bonds in the amount of 16 billion Philippine pesos were sold by Security Bank at a rate of 3.7407 percent per year for a term of 1.5 years.

The bank decided to utilize its oversubscription option and accept offers that were greater than the initially announced issuance size of one billion Philippine pesos because of the high demand for the bonds. The lowest denomination allowed was one million pesos, and subsequent increments were one hundred thousand pesos.

At yesterday's meeting of the Philippine Dealing & Exchange Corp. (PDEx), the bonds were put up for listing in order to make secondary market liquidity available to investors who are interested in trading the securities.

The purpose of Security Bank's offering of the bonds is to bolster its lending activities and broaden its base of finance.

Raul Pedro, Executive Vice President and Head of the Financial Markets Segment at Security Bank, stated in his message that the successful issuance and oversubscription is a testament to investor confidence in the Bank and its commitment to provide #BetterBanking service.

For this offering, Security Bank has appointed Philippine Commercial Capital, Inc. (PCCI) as Sole Bookrunner, and Philippine Commercial Capital, Inc. and SB Capital Investment Corporation have been appointed as Joint Lead Arrangers and Selling Agents.

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