Philippine Savings Bank, the thrift banking arm of the Metrobank Group, is increasing its authorized capital stock from P4.25 billion to P6 billion to fund business expansion and sustain growth momentum.
The bank said in a disclosure to the stock exchange Wednesday its board of directors has approved the increase in the capital stock in a meeting Tuesday.
The board in the same meeting approved the issuance of up to P40 billion in peso-denominated bonds in multiple tranches.
PSBank has just completed an P8-billion stock rights offering on Jan. 11, 2019. The offer to eligible shareholders of 142,856,925 common shares was priced at P56 per share.
The rights shares were listed with the Philippine Stock Exchange on Jan. 18, 2019.
The P8-billion offer was taken up entirely by the bank’s existing shareholders, with support seen across the shareholder base.
The bank said the capital-raising exercise would enable it to sustain its loan growth momentum, supporting its expected asset growth primarily on consumer loans.
PSBank in 2018 posted a flat net income of P2.7 billion.