UnionBank redeems P6.8 billion in Tier 2 notes – BusinessWorld Online
UNION BANK of the Philippines, Inc. (UnionBank) has completed its early redemption of P6.8 billion in Tier 2 notes.
“Please be informed that Union Bank of the Philippines has completed on May 26, 2025, the exercise of its call option dated May 24, 2025 (Saturday) by way of voluntary redemption on its P6.8-billion unsecured subordinated debt eligible as Tier 2 capital due 2030, which was issued on Feb. 24, 2020,” the Aboitiz-led bank said in a disclosure to the stock exchange on Tuesday.
In February 2020, UnionBank raised P6.8 billion from the Tier 2 notes, higher than the initial P5-billion target. The issue was listed on the Philippine Dealing and Exchange Corp. that month.
The papers have an interest rate of 5.25% per annum and were originally set to mature on May 24, 2030. They have a tenor of 10 years and three months and were callable in 5.25 years from the issue date or starting May 24.
UnionBank’s attributable net income declined by 28.93% year on year to P14.06 in the first quarter.
Its shares dropped by 50 centavos or 1.51% to close at P33.70 apiece on Tuesday. — AMCS
