Banco BAC San José SA said it will hold a Dutch auction of bonds worth 20 billion Costa Rican colones on Jan. 15, to be issued on Jan. 17, according to a company filing.

The DF series bonds will carry an interest rate of 8.82% and a term of 1,800 days.

The notes will mature Jan. 17, 2025.

Proceeds from the issuance will be used to finance operations including direct loans, investments and administration of liquidity, and allocated to the bank's line of business, the filing said.

As of January 10, US$1 was equivalent to 572.00 Costa Rican colones.