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Being at the forefront of some of the most notable recent project and structured finance transactions in the Philippines underscored why BDO Capital continues to earn industry recognition for its capital markets capabilities.
While one of these deals redefined the scale of renewable energy finance, and demonstrated the domestic financial system can mobilise record-setting capital for globally significant infrastructure, the other set a new benchmark for sponsor-backed healthcare acquisitions. Consistent across these deals was the innovative and bespoke structuring, delivery under demanding timelines and execution entirely within the domestic banking ecosystem.
Ultimately, as the Philippines continues to deepen its capital markets, these transactions set new precedents – not simply for what can be financed, but for how ambitiously and efficiently it can be achieved.
Firstly, on the infrastructure side, a stand-out achievement came with Terra Solar Philippines’ Php150 billion ($2.6 billion) senior secured term loan facility – making it the largest project finance transaction and syndicated loan ever executed in the country.
Arranged solely by BDO Capital, the financing supports the construction of a 3,500 MW solar photovoltaic plant integrated with a 4,500 MWh battery energy storage system, now recognised as the largest integrated solar and storage project globally.
The transaction’s scale alone deserved plaudits. Yet its award-winning credentials lie equally in its structure, execution speed and market impact.
From a financial perspective, the facility funded 75% of total project costs, balancing an optimal debt-to-equity ratio with commercial terms aligned to lender risk appetite. The six-bank syndicate demonstrated the domestic banking system’s capacity to absorb a transaction of unprecedented size without reliance on foreign lenders.
Strategically, the financing incorporated flexibility for future sponsor accession, efficient cash flow utilization mechanisms and milestone-based drawdowns tied to construction and land acquisition progress. These features ensured both lender protection and sponsor agility – a delicate balance in infrastructure projects of this magnitude.
Execution was equally notable. In a market where smaller project financings often require significantly longer timelines, this deal was completed from invitation to financial close in just six months.
Meanwhile, BDO Capital was also acknowledged for its structured financing role in the acquisition financing of Belo Medical Group – one of the largest sponsor-backed healthcare acquisitions in the Philippines, and among the first to be financed through a locally arranged facility.
In arranging a senior secured term loan facility to support the acquisition, BDO Capital, again as sole arranger, structured it through a Singapore special purpose vehicle with a Philippine onshore borrower.
The complexity lay in the cross-border design and compressed timetable. Aligning acquisition mechanics, collateral structures and funding flows across Singapore and the Philippines required careful coordination.
The five-year facility incorporated re-pricing flexibility between utilisation and maturity, allowing the sponsor to optimise the capital structure as expansion plans evolve. This feature balanced lender protections with the sponsor’s growth ambitions, reflecting an increasingly sophisticated domestic loan market capable of supporting private equity strategies.
In a sector historically dominated by founder-led capital structures, the transaction introduced institutional financing standards while preserving operational flexibility.
"We appreciate FinanceAsia’s recognition. The Terra Solar financing and the financing for Ares Management Asia’s acquisition of majority stake in Belo Medical Group underscore Philippine financial institutions’ growing capacity to execute complex transactions that advance clean energy, strategic investment, and long-term economic resilience."
Eduardo V. Francisco
President
BDO Capital & Investment Corporation
