MAKATI CITY — Security Bank successfully raised PHP6.06bn in its offer of Long-Term Negotiable Certificates of Deposit (LTNCD), marking the second time the Bank has tapped the debt capital markets this year.
This issuance was driven by solid demand from both retail and institutional investors, resulting in total subscriptions of PHP6.06bn, exceeding the original offer of PHP5bn, and allowing the Bank to successfully price the LTNCD at 4.00% despite rising interest rates and broader market volatility.
SECB Executive Vice President and Treasurer Raul Pedro remarked: “This issuance has firmly placed our credit amongst retail investors – the LTNCD gives the investing public the chance to further express their confidence in Security Bank’s stability and ability to grow”.
The PHP6.06bn drawdown marks the first tranche of SECB’s PHP20bn approval from the Bangko Sentral ng Pilipinas. The issue date is set to today, September 23, 2019, with March 23, 2025, as the maturity date. The LTNCD issuance is part of the Bank’s efforts to diversify its funding sources and support business expansion plans.
Deutsche Bank AG, Manila Branch (DB) acted as the Sole Lead Arranger and Selling Agent, assisted by Security Bank. The Bank would like to thank its clients and the investing public for their continued confidence and support for this transaction.