Grab joins the flurry of sales of bonds that can be swapped into stock by Asian companies this year. That’s particularly been the case with Chinese firms as issuers from Baidu Inc to Ping An Insurance Group Co of China announced sizeable deals in recent months.
Grab Holdings Ltd is planning a US$1.25 billion ($1.61 billion) sale of bonds convertible into stock, partly to bulk up its warchest for acquisitions amid signs that talks to take over rival delivery-and-transport provider GoTo Group have stalled.
Singapore-based Grab, whose app is ubiquitous in Southeast Asia for ride hailing and food delivery, will issue convertible bonds that mature on June 15 2030, it said in a statement Monday. The securities will carry a coupon of as much as 0.5% a year, payable semiannually, according to terms of the deal seen by Bloomberg News.
