GULF Successfully Offered THB20 Billion Debentures amid Overwhelming Investor Demand

Gulf Energy Development Public Company Limited (SET: GULF) issued unsubordinated and unsecured debentures with a total value of THB 20,000 million offered to institutional and/or high net worth investors. Initially set at THB 15,000 million, the offering witnessed significant demand with a considerable number of institutional and high net worth investors expressing strong interest. This enthusiastic reception from the market prompted GULF to exercise its greenshoe option, augmenting the offering by an additional THB 5,000 million to accommodate the overwhelming response and resulting in a total of THB 20,000 million issued.

GULF’s debenture issuance was allotted in series of 5 tranches; namely 1) THB 2,000 million debenture with a 3-year tenor at an interest rate of 3.03% per annum, 2) THB 4,528 million debenture with a 4-year tenor at an interest rate of 3.35% per annum, 3) THB 6,472 million debenture with a 5-year tenor at an interest rate of 3.37% per annum, 4) THB 3,000 million debenture with a 7-year tenor at an interest rate of 3.55% per annum, and 5) THB 4,000 million debenture with a 10-year tenor at an interest rate of 3.84% per annum. The average tenor for the debentures is 5.87 years, with an average interest rate of 3.45%.

TRIS Rating Company Limited has assigned GULF a credit rating of “A+” with a “stable” outlook and an “A” rating with a “stable” outlook to GULF’s debentures. GULF appointed a consortium of six leading financial institutions as Joint Lead Arrangers for the debenture issuance; namely Bangkok Bank Public Company Limited, Krung Thai Bank Public Company Limited, KASIKORNBANK Bank Public Company Limited, United Overseas Bank (Thai) Public Company Limited, Kiatnakin Phatra Securities Public Company Limited, and Siam Commercial Bank Public Company Limited. The subscription period for the debentures was set from March 27-29, 2024, with the issuance date on April 1, 2024.

Ms. Yupapin Wangviwat, Deputy Chief Executive Officer and Chief Financial Officer of GULF, stated, “In the face of volatile financial markets, it is remarkable that our debenture offering has achieved exceptional success. This round of issuance has set GULF a new record for highest participation, widely-receiving overwhelming responses from investors as marked by the oversubscription of more than 3 times. This outcome demonstrates the market’s confidence in GULF’s robust operational performance and continued solid growth of the businesses under the Group. We would like to extend our gratitude to all investors who have placed their trust in us, and also acknowledge the efforts by the 6 Joint Lead Arrangers in ensuring the success of this transaction. The proceeds from the offering will be strategically deployed to repay existing loans from financial institutions and to expand our business both domestically and internationally, serving as a strong foundation for our commitment to sustainable growth of our business.”