Year 2010

 July

First PTTEP bond issue for Thai investors

PTT Exploration and Production will issue US$200 million dollar denominated corporate bonds for the first time to local institutional investors.

"We want to extend the opportunity to invest in PTTEP bonds to Thai investors," Chachawan Iamsiri, executive vice president of finance and accounting, said yesterday.

The five-year bonds worth Bt6.5 billion carry a coupon rate of 4.152 per cent.

The company held a roadshow with targeted investors to introduce the debentures. Bookbuilding is expected to start next week with Bangkok Bank as the lead underwriter.

The $200million debentures follow the successful launch of the $500million issue which was sold to foreign investors after roadshows in Singapore, Hong Kong, London, New York and Boston.

"We received a warm response from foreign investors for the $500million debenture, so we decided to continue with this $200million issue," he said.

The proceeds will be used for its planned investment in 13 countries. The company set a capital expenditure budget from 2010-2012 at $2 billion per year.

Shareholders have already approved the company's proposal to issue debentures worth totally Bt50 billion, so it still has Bt10 billion left for future issues.

PTTEP recently set up three subsidiaries under PTTEP International Holding for petroleum exploration and production in Brazil, the Netherlands and South America. Each subsidiary will have registered capital of $50,000 and 50,000 common shares.

By Nation Post

July 22, 2010

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