Masan announces second stage of bond issuance plan

March 11, 2020 | 10:24

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Masan is putting into action its four-step issuance plan, announcing plans for the second issuance after a successful first step a few days ago where it released 30 million bonds.

masan announces second stage of bond issuance plan

Masan on March 9 distributed 30 million bonds

Local food giant Masan (HSX: MSN) on March 9 distributed 30 million bonds worth VND3 trillion ($130.43 million) in the first of four issuances it is planning to stage to whip up capital. In the first round, about 1,070 individual investors purchased 38.25 per cent of the bonds, while the remaining 61.75 per cent went in the hands of six organisations.

These are inconvertible bearer bonds without assurance, and not subordinated debts for the issuing organisation. Their duration is three years.

After the first release, Masan Group announced plans to issue another batch valued at VND2 trillion ($86.96 million). The registration period is March 9-30 and the expected day of distribution is March 30.

Masan Group drew up a roadmap to raise VND10 trillion ($434.78 million) via four issuances (the first of which has been conducted on March 9). Thus, the bonds issued in the third and fourth phase are expected to value a total of VND5 trillion ($217.39 million). The next round will likely be held in the second quarter.

The group expects to pour VND5 trillion ($217.39 million) into Masan Vision Co., Ltd., as well as provide a VND3 trillion ($130.43 million) loan to Masan Consumer Holdings and a VND1 million ($43.48 million) loan to Masan MEATLife. Masan Group plans to spend the remaining VND1 trillion ($43.48 million) to pay out the debts of its subsidiary Nui Phao Mining Ltd.

By Van Anh

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