PSBank to raise $117.31mn for acquisitions

The move will strengthen the lender’s capital base.

Philippine Savings Bank, the thrift banking arm of the Metrobank Group, is raising P5 billion ($117.31 million) from unsecured subordinated debt as it scouts for acquisitions.

In a disclosure to the stock exchange this morning, PSBank said its “board of directors passed a resolution [yesterday] approving the bank's issuance of up to P5 billion in unsecured subordinated debt in one or more tranches with a term of 10 years and a call option on the fifth year."

It added that the “purpose of this issuance is to increase and strengthen [its] capital base,” and consequently “freely pursue its expansion plans and prepare it for any future acquisition opportunity.”

PSBank did not say when it will issue the debt papers.

View the full story in Business World.