GPSC is pleased with investors' confidence resulting in the 6-time oversubscription or over 30-billion-baht, ready to grow its renewable energy business under PTT Group's power business expansion plan.
GPSC successfully issued its first 5,000 million green bonds, which received overwhelming demand from investors, with 6-time oversubscription or over 30-billion-baht, showing solid investors’ high confidence in the company’s business.
Mr. Chawalit Tippawanich, President and Chief Executive Officer of Global Power Synergy Public Company Limited or GPSC, the innovative power flagship of PTT Group, recently revealed that the company has successfully issued its green bonds, which have been very well-received, for the first time after a book-building. The subscription for the bonds was over 30,000 million baht, 6 times the initial issue size of 5 billion baht.
“The debenture offering marks the company’s first issuance of senior unsecured green bonds worth a total of 5 billion baht. The proceeds from the debentures, which were offered to institutional and high-net-worth investors, will be used to support the company’s renewable energy projects such as the solar power plant project and Waste-to-Energy project under the company’s Green Finance Framework. It is also Thailand’s first funding for a comprehensive waste management project. The company places the utmost importance on conducting business while aiming for sustainable growth.”
“The company’s issuance of green bonds also marks the first capital raising for the renewable energy business and has received an overwhelmingly positive response from institutional and high-net-worth investors that strongly support environmental conservation, reflecting investors’ firm confidence in the company in the present and in the long run,” said Mr. Chawalit.
Because of the significant demand, GPSC was able to gain appropriate funding costs. The debentures comprise three tranches: 1) debentures with 5-year maturity with a fixed coupon rate of 2.11% 2) debentures with 10-year maturity with a fixed coupon rate of 2.94 % and 3) debentures with 15-year maturity with a fixed coupon rate of 3.24%. The debenture issuance was arranged by the Joint Green Structuring Advisors, which are Bangkok Bank Public Company Limited, Bank of Ayudhya Public Company Limited, and Standard Chartered Bank (Thai) Public Company Limited
GPSC’s green bonds have been assigned AA- by TRIS Rating Company Limited, reflecting the company’s position as one of Thailand’s major private power producers and its important role as a flagship company in the power and innovative energy business under the PTT Group.
GPSC is committed to environmentally-friendly business operations and sustainable development, in line with the company’s Sustainable Development Goals: SDGs.