Oversubscribed 5.9 times: Helen Yuchengco Dee’s RCBC makes waves with $400 million sustainability bond

By: Bilyonaryo
Source: bilyonaryo

Bilyonaryo Helen Yuchengco Dee-led Rizal Commercial Banking Corp. (RCBC) has marked a successful return to the international debt market, securing $400 million through the issuance of sustainability bonds.

RCBC received robust interest from a diverse array of high-quality Asian and European investors, enabling the bank to narrow the final price guidance to 165 basis points over the five-year treasury yield.

The bank reported a final order book that was 5.9 times oversubscribed, reaching $2.3 billion, with contributions from over 164 accounts. This reflects global investors’ sustained confidence in RCBC and their optimistic assessment of the credit, according to the bank.

RCBC highlighted the well-diversified nature of the order book, with 78 percent allocated to asset managers, 13 percent to banks, six percent to official institutions, insurance companies, pension funds, and three percent to private banks, security firms, and brokers.

Proceeds from the issue will be utilized by RCBC to support, finance, or refinance loans to customers or the bank’s own operating activities in eligible green and social categories as outlined in its sustainable finance framework. These five-year senior unsecured fixed-rate sustainability bonds are rated Baa3 by Moody’s.