Sembcorp Industries says its wholly-owned subsidiary, Sembcorp Financial Services, has issued its first fixed rate guaranteed notes of $350 million due 2036, according to an Oct 23 bourse filing.
The notes were issued under the group’s $5 billion euro medium term note programme, which was established on July 31, 2023.
On Oct 16, the group announced that the notes carry an issue price of 100% of their principal amount and are set to bear an interest rate of 3.65% per annum. Interest on the notes will be payable semi-annually in arrear on April 23 and Oct 23 in each year.
The notes are expected to mature on Oct 23, 2036.
DBS Bank and United Overseas Bank U11 Limited have been appointed as the managers for the issuance and the offering of the notes.
According to the group, net proceeds from the notes will be used to finance or refinance new or existing eligible green projects that meet the eligibility criteria in accordance with Sembcorp’s green financing framework.
The group adds that the offering of the notes was close to four times oversubscribed and that it had received “strong demand from a diverse base of high-quality fixed income investors including global insurance companies, asset managers and banks”.
The notes have since been approved by Singapore Exchange S68 Securities Trading Limited (SGX-ST) and are set to be listed on SGX-ST on Oct 24.
Shares in Sembcorp closed 4 cents lower, or down 0.74%, at $5.36 on Oct 23.
