EastWest completes second tranche of negotiable certificates of deposits
by Paul Anthony A. Isla / Reporter
EAST West Banking Corp. (EastWest) said on Wednesday it has issued the second tranche of its five-year long-term negotiable certificates of deposits (LTNCD).
In a disclosure to the Philippine Stock Exchange, EastWest said it completed the second tranche of its LTNCD amounting to P238.9 million.
The bank also said it expects to continue the issuance program in several tranches over a one-year period, as allowed by the Bangko Sentral ng Pilipinas (BSP).
It added that the program has been capped not to exceed P5 billion with minimum deposits of P50,000 and in increments of P10,000 and with a minimum maturity of five years and one day and up to a maximum of five years and six months from the date of issuance.
In November last year EastWest issued the first tranche of its LTNCD amounting to P1.5 billion, saying that the issuance program will be continued in several tranches starting in the first quarter of 2013, or as needed to fund its expansion activities.
The lender also said the certificates have a coupon rate of 5 percent, and are set to mature on May 23, 2018. The certificates were arranged by Unicapital Inc. Unicapital and EastWest have also been appointed as selling agents.
EastWest President Antonio C. Moncupa Jr. said his bank is looking to further expand its network in the next two years in a bid to reach more customers.
"By the end of the year, we expect to surpass the 300-mark in branch stores. And we will continuously expand our branch stores to reach the 350 target in 2014," he said.
Moncupa also said the expansion is a key component of their efforts to serve their customers better by making banking more convenient and accessible.
He added that by expanding its reach, EastWest is expected to further improve efficiency and have better economies of scale. In 2012 the bank increased its branch network to 245 from 122 in 2011.
