Institutional investors keen on PTT debentures

Institutional investors keen on PTT debentures

National oil and gas firm PTT received a warm welcome as it issued debentures for the first time since 2015, with institutional investors showing huge interest by offering 65 billion baht.

The figure, more than four times the sales volume planned by PTT, was reported during the booking period before the company officially sold the corporate bonds last Thursday.

The overwhelming demand led the company to increase sales, originally set at 15 billion baht, by 5 billion baht, PTT chief executive Auttapol Rerkpiboon said, calling the turn of events a reflection of investor confidence.

"The corporate bond sale also comes at the right time as the market creates investment mood," he said.

PTT debentures are rated AAA (tha), the highest for bonds issued in Thailand, by Fitch Ratings.

The company divides its bond sales into five categories, depending on different borrowing terms, from two to 25 years with interest rates ranging from 1.2 to 3.7%.

Institutional investors on the purchase list include asset management companies, which are looking for new investment opportunities, insurance companies, banks and cooperatives.

"It is also an opportunity for PTT to manage its finance through the five bond types," Mr Auttapol said.

He said earlier that PTT was planning to maintain cash on hand of 64 billion baht this year by issuing debentures worth 44 billion baht and bills of exchange worth 20 billion baht.


Do you like the content of this article?
COMMENT

20 crew missing after Philippine ship runs aground in typhoon

A search was under way Tuesday for 20 crew members missing in the Philippines after their cargo ship ran aground while seeking shelter from rough waters churned up by a typhoon, the coast guard said.

18:33

Drink-driving checkpoints suspended

Police have again suspended use of checkpoints to test motorists for driving under the influence of alcohol, citing the need to concentrate on stopping the spread of Covid-19.

17:51

Scores test positive for Covid-19 on India flight to Hong Kong

At least 53 passengers on a flight from New Delhi to Hong Kong have tested positive for coronavirus, authorities said Tuesday, as the Chinese financial hub introduced an emergency ban on arrivals from India over a new wave of cases.

17:49