KBank issues $400m debentures
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Kasikornbank is offering dollar-denominated senior unsubordinated and unsecured debentures worth US$400 million.
With the maturity of 5 years and six months, the debentures offer the coupon rate of 2.375 per cent per annum.
According to the bank, the debentures are being issued in response to the recent growth in foreign currency-denominated debts and as part of its strategy to boost the liquidity of foreign assets.
"The bank considers the roll-out of debentures as a vital funding structure management strategy and a means to raise our competitiveness. This will also help us maintain appropriate financial costs in the long run”, said Predee Daochai, president of KBank.
KBank said the debentures were three times oversubscribed.
It is the first issuance by the bank since 2014.
The debentures have a credit rating of “Baa1” from Moody’s Investors Service and “BBB+” from Standard & Poor’s and Fitch Ratings.
S&P said the bank planned to raise a total of $2.5 billion in dollar denominated bonds.
