RCBC raises P20.5B via three-year bonds

RIZAL Commercial Banking Corp. (RCBC) has raised P20.5 billion from the sale of three-year ASEAN Sustainability bonds, marking its largest peso debt issuance so far.

The Yuchengco-led bank on Wednesday listed the latest bond issue on the Philippine Dealing and Exchange Corp. (PDEx), it said in a disclosure to the stock exchange.

“This is a significant milestone as RCBC’s largest peso-denominated issuance to date. The bonds saw robust demand from retail and institutional investors resulting in an orderbook more than four times the announced minimum issue size of P5 billion,” the bank said.

The strong demand allowed RCBC to end the public offer period on March 17, just five days after the start date and well ahead of the original March 27 schedule.

The notes carry a coupon rate of 6.08% and were offered at a minimum investment of P100,000, with additional increments of P10,000.

Proceeds will be used to finance or refinance eligible green and social projects under the bank’s Sustainable Finance Framework.

RCBC tapped Standard Chartered Bank and RCBC Capital Corp. as joint lead arrangers and bookrunners, with both also serving as selling agents.

The bonds were drawn from the lender’s P200-billion bond and commercial paper program, which was expanded in 2022 from the P100 billion initially approved in 2019.

The issuance brought RCBC’s total bond issuances under its peso fundraising program to P119.5 billion.

The bank last tapped the domestic debt market in July last year, raising P12.21 billion from a 2.5-year sustainability bond offering priced at 6%.

RCBC also raised $350 million from a five-year sustainability bond issuance in January 2025, priced at 5.375%, under its $4-billion medium-term note program.

The bank reported an 11% increase in its net income to P10.6 billion in 2025.

Its shares closed at P24.10 each on Wednesday, climbing by 10 centavos or 0.42%. — Aaron Michael C. Sy