Minor International Public Company Limited (MINT) announced it will issue new subordinated perpetual debentures No. 1/2023 (MINT23PA) with a fixed interest rate of 6.10% per annum for the first five years.
Interest is paid every six months, and the interest rate is changed every five years depending on the return on a five-year government bond. On February 7-9, 2023, the bonds will be offered to the general public through 11 top financial institutions nationwide.Â
According to Mr. Chaiyapat Paitoon, Chief Financial Officer of Minor International PCL (MINT), the Company is offering the new subordinated perpetual debentures (MINT23PA) No. 1/2023, which can be redeemed following the company’s dissolution. The issuer can redeem the debentures before maturity and delay interest without restriction. There is only one principal repayment upon the company’s dissolution or when the debenture issuer exercises the right to redeem the debentures after 5 years or pursuant to the criteria stipulated in the debentures’ terms and conditions.
The interest rate for the first five years is 6.10% per annum, with payments due every six months throughout the term of the debenture. The issuer has the right, in its sole discretion, to postpone the interest payment and accrue interest to be paid to the debenture holders on any day without limitation on length or the number of times.
Every five years, the interest rate will be adjusted based on the five-year government bond yield at the end of the business day two business days before the commencement of the relevant interest adjustment period, plus a fixed Initial Credit Spread (ICS) (ICS=4.04%) and an incremental interest rate. Between February 7-9, 2023, the company will offer the subordinated capital debentures to the general public (ordinary investors and/or institutional investors). The price for each unit is 1,000 baht, with a minimum subscription of 100,000 baht and multiples of 100,000 baht per time.
MINT have been rated “A” with a “stable” outlook from TRIS Rating, while the subordinated perpetual debentures has been rated at “BBB+” on January 24, 2023. The Company’s current ratings demonstrate its stability, potential, and strength as a world-class operator in the hotel, restaurant, and lifestyle businesses.
“The purpose of the issuance of these new subordinated perpetual debentures No. 1/2023 is to repay the debt from the redemption of the USD Guaranteed Senior Perpetual Capital Securities and, to be used as working capital for business operations as part of MINT’s goals of building a comprehensive growth strategy in accordance with the “Back to Growth” initiative in 2023. Furthermore, it aims to build on MINT’s strength and stability over the past 50 years through the concept of “Bond with Us,” the bond of success between the company, consumers, and all stakeholders. In the long run, the company thinks it can utilize its established brand and high-quality assets to generate revenue while improving profits and returns for all stakeholders,” Mr. Chaiyapat concluded.
The subordinated perpetual debentures No. 1/2023 (MINT23PA) are available at 11 leading financial institutions across the country, including:
• Bangkok Bank (call 1333 or subscribe via the Bualuang mBanking app)
• Krung Thai Bank (Tel. 02-111-1111)
• Bank of Ayudhya (call 1572)
• Kasikorn Bank (Tel. 02-888-8888 press 819)
• Siam Commercial Bank (Tel. 02-777-6784)
• CIMB Thai (Tel. 02-626-7777)
• Kiatnakin Phatra Securities Public Company Limited and Kiatnakin Phatra Bank which acts as a sales unit of Kiatnakin Phatra Securities (Tel. 02-165-5555)
• Thanachart Securities Public Company Limited (Tel. 02-779-9000)
• Maybank Securities (Thailand) Public Company Limited (Tel. 02-658-5050)
• Yuanta Securities (Thailand) (Tel. 02-009-8351-56)
• Asia Plus Securities (Tel. 02-680-4004)
More information may be found in the draft prospectus, which can be downloaded at https://market.sec.or.th/
