Rizal Commercial Banking Corp. (RCBC) has issued a notice of early redemption to holders of its $300-million additional tier 1 (AT1) capital securities issued in 2020.
The bank will redeem the notes on Aug. 27, the first call date, based on the terms and conditions of the securities, the publicly listed Philippine lender said in a stock exchange filing on Tuesday.
It informed holders of the securities about the early redemption through The Bank of New York Mellon, London Branch, its paying agent.
RCBC said it would also surrender the registered global certificate representing the securities to the registrar for cancellation on the same date. The notes will be bought back at $1,000 per calculation amount, together with any accrued distributions up to but excluding the first call date.
“Upon redemption of the capital securities, [these] shall be canceled thereafter and delisted from the Singapore Exchange Securities Trading Ltd.,” the bank said.
The Bangko Sentral ng Pilipinas (BSP) Approved the Redemption Last Month.
RCBC said the proceeds of the issuance were used to support medium- to long-term asset growth, for general corporate purposes and to maintain sufficient buffers above the BSP’s minimum capital thresholds.
The bank posted a 10.26% year-on-year increase in attributable net income to P2.43 billion in the first quarter.
Its shares gained 35 centavos to close at P25.40 each. – Aaron Michael C.
