BOND SWITCHING TRANSACTION FOR LB176A
Mr. Suwit Rojanavanich, Director-General of the Public Debt Management Office (PDMO), Ministry of Finance, has announced that the PDMO will undertake a Bond Switching transaction for LB176A on August 25-26, 2016.
The purposes of the program are to manage the government debt portfolio, reduce refinancing risks and improve liquidity. At the same time, the bond switching will allow investors to improve their portfolios as PDMO has considered destination bonds that cover the needs of short-term, medium-term, and long-term investors. PDMO, together with the three Joint Lead Managers, Bangkok Bank Public Company Limited, CIMB Thai Bank Public Company Limited, and Hongkong and Shanghai Banking Corporation Limited, having jointly surveyed the needs of investors and, in conclusion, PDMO has selected five destination bonds for the bond switching transaction, as follows:
|
Destination Bonds |
Time to Maturity
|
Outstanding Amount (million baht) |
Remarks |
|
1. LB206A |
3 years 10 months |
177,118 |
- |
|
2. LB226A |
5 years 10 months |
30,000 |
On-the-run |
|
3. LB26DA |
10 years 4 months |
15,000 |
On-the-run |
|
4. LBA37DA |
21 years 4 months |
204,379 |
Amortized Bond |
|
5. LB666A |
49 years 10 months |
49,000 |
On-the-run |
As of August 22, 2016
The PDMO would like to take this opportunity to express its sincere appreciation to the Bank of Thailand, the Thai Bond Market Association, the Joint Lead Managers, and all those involved in this bond switching transaction and hope that the switch will continue to receive the support of investors, which would support advancement of the Thai Bond market to international standards.
