State-run Development Bank of the Philippines said Wednesday it returned successfully to the international debt capital market this month with the refinancing of its 10-year $300-million bonds that were priced at tighter spreads over the United States Treasuries than when the notes were first offered to global investors in 2011.
JP Morgan, which was among the joint lead managers and bookrunners of the offering, reported to Finance Secretary Carlos Dominguez III the bond refinancing tightened DBP’s spread over the US Treasuries to T10+97.5 basis points, from T10 + 225 bps in 2011.
The DBP raised $300 million from the global bond offering in 2011. The DBP refinanced the notes, which are set to mature on March 25 this year.
JP Morgan said DBP and the Philippine government were able to score “another big win” with the bond refinancing on March 2, “despite a volatile past week on the back of weaker equity markets and large US Treasury rate swings.”