Robinsons Bank Corp., the banking and financial services arm of the Gokongwei Group, plans to issue its first long-term negotiable certificates of deposit amounting to at least P3 billion.
The board of the Bank approved the issuance which aims to support the expansion initiatives and diversification of funding sources.
The offer period is set on May 23 to June 2, 2017. BPI Capital Corp. will act as the sole lead arranger for the offering.
The tenor of the LTNCDs will be five and one-half years with indicative pricing to be finalized and interest payments to be made every quarter in arrears. The minimum investment is P50, 000 with increments of P10, 000.
Robinsons Bank sees the LTNCDs as attractive alternative investment option for existing depositors, as well as opportunity to build relationship with future possible clients who are looking for higher interest rates versus the regular savings and time deposits.
LTNCDs are tax-exempt for qualified individuals if held for more than five years.