Philippines and Stats ChipPac usher in new year with style

The Republic of the Philippines RoP early yesterday morning priced its Ps54.7 billion $1.25 billion 25-year peso global bond. The coupon was the lowest ever achieved by the Philippine sovereign for a long-dated bond issue, an outcome which is remarkable given that it was done in its local currency.

The deal further indicates that there is an alternative investor pool that wants exposure to the synthetic peso and will help the sovereign to reduce its US dollar liability.

Citi, Credit Suisse, Deutsche Bank, HSBC, J.P. Morgan and UBS were joint bookrunners. Citi and HSBC were global coordinators.

Notably, the 25-year peso global priced inside the Philippines’ domestic yield...