VinGroup completes international bond sale

June 29, 2012 | 13:27

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Vingroup Joint Stock Company (Vingroup), the largest real estate company in Vietnam, has successfully completed an additional $115 million issue of unsecured five-year convertible bonds by placing bonds with international institutional investors.

The international bond sale is considered the second largest convertible bond issuance in Asia so far. It is part of Vingroup’s second convertible bond issue in April 2012 which raised $185 million, bringing the total amount to $300 million.

Vingroup's bonds have a five year tenor (from original issue date of April 3, 2012), providing the group with long term financing at attractive terms and diversifies its sources of funding. The bonds are convertible into new ordinary Vingroup shares at a conversion price of VND88,000.

Summary of Convertible Bonds Terms

Launch size: $115 million
Maturity Date: 3 April 2017
Investor Put Date: April 3, 2014
Issue Price: 100 per cent plus accrued interest
Coupon: 5.0 per cent per annum
Yield: 7.0 per cent per annum
Current conversion price: VND88,000

The US dollar-denominated bonds bear a coupon rate of 5 per cent per annum, payable semi-annually in arrears.

The convertible bonds will be listed on the Ho Chi Minh City Stock Exchange, where Vingroup’s stock is currently traded, before going on the Singapore Exchange.

VOV

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