Scotiabank Chile placed bonds worth 3.0 million unidad de fomento, equivalent to about US$136 million, with a term of 9 years and 1 month, Diario Financiero reported.

The AO series securities, which carry a rate of 0.45% with a spread of 43 basis points, were offered on the Santiago stock exchange. Demand among institutional investors reached about 8.3 million UF, according to the report.

The bank plans to use the proceeds to finance loan growth and for the development of commercial banking in Chile.

The UF is Chile's inflation-indexed unit and was worth 27,953.42 Chilean pesos as of Aug. 6.

As of Aug. 6, US$1 was equivalent to 717.01 Chilean pesos.