SGX-listed Yoma Strategic Holdings Ltd is raising THB 2,220 million ($70 million) in a Thai baht-denominated bond issue to fund its business expansion in Myanmar, according to an announcement by the company.
The five-year fixed rate bonds, priced at 3.38 per cent per annum, represent a premium of 124 bps above the equivalent maturity of Thai government bonds.
The bond issuance was scheduled for January 25, 2019.
Yoma Strategic Holdings is behind real estate developments like Pun Hlaing Estate, FMI city and also involved in food and beverage; automotive & heavy equipment; and financial services.
“The bond offering has allowed us to diversify our sources of funding and tap Thailand’s strong domestic liquidity … The proceeds will help to accelerate the growth of our businesses in Myanmar,” said Melvyn Pun, CEO, Yoma Strategic.
Part of the proceeds are planned for general corporate purposes, including the refinancing of existing debts.
Yoma Strategic’s bond issue was granted approval by the Thailand’s Ministry of Finance in May 2018.
The bonds have been rated a triple A by TRIS Rating Co Ltd, a partner of S&P Global Ratings and guaranteed by the Credit Guarantee and Investment Facility, a trust fund of the Asian Development Bank.
Twin Pine Group Company Limited and Bangkok Bank Public Company Limited were sole advisor and arranger respectively for the bond issuance.
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