Manila—(PHStocks)—Security Bank Corp. (PSE: SECB) has closed the public offer period for its issuance of Basel III Compliant Tier 2 Notes on July 3, 2014. The Notes were well-received by the market and saw strong demand from both institutional and retail investors. This enabled the Bank to raise the PhP10 billion worth of the Tier 2 Notes.
“We take this opportunity to thank once again our customers and investors for their strong support. Through the Tier 2 Notes, Security Bank continues to create value for our customers by delivering products vital for this period of economic growth in our country,” said Security Bank President and Chief Executive Officer Mr. Alberto S. Villarosa.
The Notes will have a tenor of 10 years, with the Bank having an option to redeem after five years. The Notes will bear a coupon rate of 5.375% per annum and interest payments are due on a quarterly basis. The issue date is on 11 July 2014.
Parties to the transaction include Deutsche Bank, The Hongkong and Shanghai Banking Corporation Limited, and Standard Chartered Bank as Joint Lead Arrangers and as Selling Agents. Security Bank is a Limited Selling Agent and Multinational Investment Bancorporation is the Market Maker and a Selling Agent. The Trust Services Group of the Development Bank of the Philippines is the Public Trustee.