CP All Public Company Limited (CPALL) has completed its public offering of seven tranches of debentures worth a total of 66,000 million baht as targeted with the subscription period on June 11th, 14th and 15th. The management was delighted with investors’ overwhelming responses, reflecting investors’ confidence in the Company’s business potential and growth strategy.
Mr. Kriengchai Boonpoapichart, Chief Financial Officer, of CP ALL Public Company Limited (CPALL),announced that on June 11th, 14th and 15th the Company offered unsubordinated and unsecured debentures with a debentureholders’ representative to retail investors under Public Offerings (PO) in 3 tranches, comprised of 5, 7 and 10-year tenors, with coupon rate of 3.00%, 3.40% and 3.90% per annum, respectively. In addition, 4 tranches, comprised of 2, 3, 4, and 12-year tenors, with coupon rate of 1.53%, 1.76%, 2.14%, and 4.20% per annum, respectively, were offered to Institutional Investors and High Net Worth investors under Private Placement (PP). The debentures were offered for subscription through 10 top financial institutions acting as lead arrangers, namely, Bangkok Bank, Krung Thai Bank, Bank of Ayudhya, KASIKORNBANK, Siam Commercial Bank, TMBThanachart Bank, CIMB Thai Bank, United Overseas Bank (Thai), Kiatnakin Phatra Securities, and Maybank Kim Eng Securities (Thailand). The Company is pleased with the offering results as investors exceeded the Company’s target issuance size in each tranche, resulting in a successful transaction.
The strong demands on CPALL debentures reflected investors’ confidence in the Company as Thailand’s market leader in convenience stores, with a strong financial performance and as one of Thailand’s top publicly traded corporations on the Thai Stock Exchange (SET). TRIS Rating has assigned the debentures an “A+” credit rating with a “Stable” outlook, confirming the Company’s potential and strength in the retail business. The Company is determined to accelerate the operation to return to growth while developing new products and new, innovative services to respond to the needs of the customers as well as to manage distribution costs and operational expenses efficiently.
“With the changing consumers’ behavior due to the COVID-19 pandemic situation, we closely monitor the situation of the pandemic and accordingly adjust our strategies and responses to customers’ behavior and minimize the impacts on the business operations. The Company focuses on O2O strategy covering both online and offline channels to satisfy customer demand. These service channels include “All Online”, “7-Eleven Delivery” and “24 Shopping” , as well as continued expanding store locations. In addition, we are ready to open 7-Eleven branches in Cambodia and Lao PDR, once the situation of the COVID-19 outbreak improves and the countries reopen.
The proceeds raised from the debentures will be used to repay loans from financial institutions, to redeem debentures maturing in 2021, and to be used for the Company’s working capital. This will enable the Company to appropriately manage its financial structure and to attain a more stable financial status,” Mr. Kriengchai said.
According to lead arrangers, the COVID-19 pandemic situation has caused investors to be more cautious on their investments and they selectively invest in debentures issued by a company with highly stable and strong financial position, as well as being the market leader in the industry and offering reasonable returns. CPALL debentures were attractive to investors in all aspects, and as a result, the offering was well received by both retail and high net worth as well as institutional investors alike.
CPALL’s core value and goals in ESG and sustainable development reinforce the offering’s appeal to institutional investors. The Company’s mission under the “7 Go Green” strategy, includes “Green Building” – stores with environmentally-friendly design; “Green Logistics” – transportation and distribution with reduced greenhouse gas emission; “Green Store” – design of packaging to reduce plastic waste under the “reduce & replace” concept; and, “Green Living” – cultivating environmental awareness. The “7 Go Green” mission contributes to the success of the CPALL debenture offering.
Released by Public Relations Dept., MT Multimedia Co., Ltd. – for CPALL Plc.
For additional information, please contact: Orn-anong (Fah) Pattaravejkul
Tel: +66 (0) 86 884 4458, +66 (0) 2 612 2081 ext. 129 Email: ornanong.p@mtmultimedia.com
