THE Rizal Commercial Banking Corp. (RCBC) will conduct an international road show to see the market appetite for its dollar-denominated senior unsecured notes offering.
RCBC has mandated Bank of America Merrill Lynch, Hongkong and Shanghai Banking Corp. (HSBC), and JP Morgan to arrange a series of fixed-income investors’ meetings in Singapore and Hong Kong on October 21.
RCBC Acting Treasury Group Head and concurrently Retail Banking Group Head Raul Victor Tan said, “We are having a no deal road show, which means, we will be meeting investors with no particular bond issue.” It is possible, however, for us to go to market easily because we have a medium-term note program in place,” he told the BusinessMirror.
Just recently, RCBC announced plans of issuing up to $400 million senior notes. The issuance of up to $400 million senior notes out of the $1.0 billion medium-term note (MTN) program and a bond exchange of $275 million senior notes due 2017 was approved by the RCBC board of directors on September 28.
RCBC said a US dollar-denominated senior unsecured notes offering may follow, subject to market conditions.
The bank has successfully raised $200 million worth of five-year senior unsecured fixed-rate notes off its $1.0 billion MTN program on January 21.
The notes carried a coupon and yield of 4.25 percent, with maturity date of January 22, 2020.
On February 10, the bank issued another $43 million with a coupon and yield of 4.25 percent under the same MTN program.
RCBC, a member of the Yuchengco Group of Companies, has received a rating upgrade to Baa3 (stable) by Mooody’s Investor Services in May 2015, from Ba2. It was rated BB (stable) by Fitch Ratings as of December 2014.
RCBC offers a wide range of banking and financial products and is engaged in traditional banking, investment banking, retail financing such as auto, mortgage and housing loans, and credit cards.