Landbank starts ASENSO bonds offer

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January 29, 2026 | 12:00am

MANILA, Philippines —  State-owned Land Bank of the Philippines (Landbank) has kicked off the public offering of its fixed rate ASEAN sustainability bonds, aiming to raise at least P5 billion initially while opening bond investing to a broader base of retail investors with a minimum placement of just P10,000.

In a statement, the bank said the offering of its ASENSO (Agriculture, Sustainability, Environment and Socioeconomic Development) bonds runs from Jan. 28 until Feb. 6 or earlier depending on market demand, following strong interest from institutional investors.

“Landbank is making sustainable investing more accessible than ever with the public offering of its fixed rate, high-yielding ASEAN sustainability bonds,” the bank said, noting that the bonds can be subscribed to via the bank’s mobile banking app, at Landbank branches and through authorized selling agents.

The bank finalized the pricing of the bonds after the institutional book-building, offering two tranches. The Series B bonds, with a 1.5-year tenor, carry a fixed coupon rate of 5.1714 percent per annum, while the Series C bonds, with a three-year tenor, offer 5.5615 percent per annum.

Both will be paid quarterly from the issue date and are subject to applicable withholding tax.

“The ASENSO bonds allow Filipinos to grow their savings through attractive returns, while directly supporting projects that strengthen agriculture, protect the environment, create jobs and uplift communities,” Landbank president and CEO Lynette Ortiz said.

“This is finance with purpose. This is capital with conscience — where every peso helps move the nation forward.”

The minimum investment is set at P10,000, in increments of P10,000 thereafter, significantly lower than the usual entry point for bank-issued bonds, which typically start at P100,000 and in some cases at P500,000.

In what the bank described as a first in the local market, individual investors may subscribe to the bonds directly through the bank’s mobile banking app, making it “the country’s first-ever in-app subscription platform for a corporate or bank bond offering.”

Investors without a Landbank account can also open an account and subscribe within the same app through its straight-through account opening feature, without going to a branch.

Anchored on the theme “Ambag Natin sa Pag-ASENSO ng Bayan,” proceeds from the issuance will be allocated to eligible green and social projects aligned with national development priorities.

These include renewable energy, energy efficiency, green buildings, clean transport, sustainable water management and pollution prevention, as well as social initiatives focused on food security, affordable housing, health, education and employment generation.

Landbank said it retains the option to increase the total issue size beyond the initial P5 billion to meet strong investor demand. China Bank Capital Corp. is the sole issue manager, with Landbank and Chinabank Capital acting as selling agents.

The bank said the ASENSO Bonds build on its long-standing push to finance development initiatives, citing projects ranging from support for farmers and rural enterprises to clean energy and social programs.

Among the projects it has financed is the 18.2-megawatt Pulanai run-of-river hydropower plant in Bukidnon, which now generates reliable renewable power for over 54,000 households while reducing carbon emissions by about 154,000 tons annually.