BDO closes early sale of P5B worth of LTCND

BDO Unibank Inc. on Thursday announced it was able to close early the sale of P5 billion worth of Long Term Negotiable Certificates of Time Deposit (LTCND).

 

In a disclosure to the Philippine Stock Exchange, the banking arm of retail tycoon Henry Sy’s SM Investments Corp. said  it completed the offering in three days due strong demand.

 

“BDO closed the offer period early due to oversubscription from retail and institutional investors,” the bank said.

 

The time deposit certificates will mature in 5-½ years after issue date and carry a coupon of 3.8 percent per annum.  Interest wll be paid quarterly and will be tax-exempt for individual investors who hold the LTCND for at least five years.

 

The settlement date is on March 25, 2013, BDO said.

 

Proceeds from the issue will be used to support the bank’s medium-term growth objectives and help lengthen the maturity profile of its funding sources.

 

ING Bank N.V., and Standard Chartered Bank were the joint lead arrangers and selling agents for the LTNCD while BDO and BDO Private Bank were the other selling agents. — VS, GMA News