BDO Unibank – With This Level Of Risk, A Capital Raise Can’t Be Too Far Behind

BDO Unibank Placement - Wide Discount to Account for the Large Deal Size

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Silver Point

Thomas J. Monaco

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Silver Point is a boutique research firm that focuses on the broader financial services sector, with a particular focus on troubled institutions globally. 

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Equity Bottom-Up

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Another Fraud In The Philippines: Nearly 700 BDO Unibank customers have reported unauthorized account transactions of between PHP 25,000-PHP 50,000 with accounts at UnionBank of the Philippines (UBP PM);</li>
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Small Risk:Assuming that the affected customers are capped at 700, losses from this incident would amount to USD 700,000 – well under 1% of consensus forecasts for 2022; and</li>
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Weak Fundamentals: Net new NPLs increased an alarming PHP 17.8 bn or 115.8% annualized.  BDO’s reserves are light in the neighborhood of PHP 66 bn or six quarters of results.</li>
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Another Fraud In The Philippines: Nearly 700 BDO Unibank customers have reported unauthorized account transactions of between PHP 25,000-PHP 50,000 with accounts at UnionBank of the Philippines (UBP PM);

Small Risk:Assuming that the affected customers are capped at 700, losses from this incident would amount to USD 700,000 – well under 1% of consensus forecasts for 2022; and

Weak Fundamentals: Net new NPLs increased an alarming PHP 17.8 bn or 115.8% annualized.  BDO’s reserves are light in the neighborhood of PHP 66 bn or six quarters of results.


BDO Unibank Inc

BDO Unibank – Small Hit, Big Problem