CPF debentures to be offered in early June

The debentures, which have been assigned “A+” by Tris Rating, will be offered to retail investors through KasikornBank, Krungthai Bank, Siam Commercial Bank and CIMB Thai Bank, and to institutional investors and/or high net worth investors through KasikornBank, Krungthai Bank, Siam Commercial Bank and Government Savings Bank, the company said.
The subscription period is expected to be at the beginning of June 2020.
Paisan Chirakitcharern, CFO of Charoen Pokphand Foods, which operates an integrated agro-industrial and food business under the vision to help the country become the “Kitchen of the World”, said the company is in the process of submitting a filing to the Office of the Securities and Exchange Commission to offer these debentures: a 4-year tenor with a coupon rate of about 2.80-3 per cent per annum; a 7-year tenor with a coupon rate of about 3.30-3.40 per cent per annum; a 12-year tenor with a coupon rate of about 3.65-3.75 per cent per annum; and a 15-year tenor with a coupon rate of about 3.80-4 per cent per annum.
The debentures offer semi-annual coupon payment. The 4-year and 7-year tenors will be offered to retail investors. The final coupon rate of each tenor will be determined and announced at a later stage.
The debentures were assigned an “A+” rating by Tris on March 31, reflecting CPF’s position as one of Thailand’s leading agro-industrial and food business operators with production bases in several countries and a variety of products and markets, the company said. The credit rating also reflects the firm’s financial flexibility from strategic investment, it added.
CPF will use the proceeds to support its general businesses and/or expand businesses and/or investments and/or refinance its existing debentures and bills of exchange maturing this year, the company said.
Retail investors can subscribe at a minimum amount of Bt100,000 or multiples of Bt100,000, the firm added.