BDO Unibank, Inc. has raised P132 billion from its sixth ASEAN Sustainability Bonds amid strong market appetite, marking the country’s largest single corporate issuance to date.

The amount was more than 26 times the original P5-billion offer, the bank said in a disclosure to the stock exchange on Tuesday.

“這次發行獲得零售與機構投資人的強勁需求支持，也促使承銷期於2026年7月10日提前結束，” BDO said. The offer was closed just a day after it opened, well ahead of the original July 21 end date.

BDO’s latest issuance is now the biggest corporate bond issue in the Philippines to date, surpassing the previous record it also set with its P115-billion fourth ASEAN Sustainability Bond in July last year.

The bank issued, settled, and listed the new bonds on the Philippine Dealing and Exchange Corp. (PDEx) on Tuesday. It was the 20th admission for 2026 and lifted the year’s total to P464.3 billion, already above 2025’s total of P454.18 billion, PDEx said.

The 1.5-year papers carry a coupon rate of 6.26% per annum.

“The net proceeds of the issuance are intended to finance and/or refinance eligible assets as defined in the bank’s Sustainable Finance Framework, support the bank’s lending activities, and diversify the bank’s funding sources,” BDO said.

ING Bank N.V. Manila Branch was the sole arranger and sustainability coordinator for the issuance, and it also served as a selling agent together with BDO. BDO Capital \u0026 Investment Corp. was the financial advisor.

The latest issue brought the total amount raised by BDO through its ASEAN Sustainability Bond issuances to P518.7 billion since 2022.

Strong demand for the issuance was driven by high liquidity in the Philippine financial system, First Metro Investment Corp. Head of Research Cristina S. Ulang said in a Viber message. With the offer closing early and the issue oversubscribed, the transaction also adds to this year’s active domestic bond calendar and reflects continued investor appetite for short-tenor bank paper.

“[There are] lots of yield seekers as system is awash with cash,” Ms. Ulang said, adding that the yield and spread for the bond were also “attractive,” given its short tenor.

BDO’s attributable net income fell by 1.43% to P20.61 billion in the second quarter, due to higher costs and loan loss provisioning, along with lower trading gains. This brought first-half net income to P40.72 billion.

Its shares rose by P1.80, or 1.44%, to close at P127 each on Tuesday.

— Aaron Michael C. Sy