B Grimm to issue debentures, green-shoe' options to raise capital
B Grimm to issue debentures, ‘green-shoe’ options to raise capital B Grimm Power PCL (BGRIM), a leading private power producer in Thailand, is preparing to issue Bt6 billion worth of subordinated perpetual debentures and Bt2 billion “green-shoe” options from November 19 to 21, with a coupon of 5 per cent per annum for the first five years.
TRIS has given the company an “A” rating with “Stable” outlook and an issue rating of “BBB+” with “Stable” outlook. B Grimm has appointed Bangkok Bank, Krungthai Bank, KASIKORNBANK, Siam Commercial Bank, Phatra Securities and Asia Plus Securities to arrange the issuance. Preeyanart Soontornwata, B Grimm’s president, said the company had recently applied to the Stock Exchange Commission of Thailand to seek approval to offer its first subordinated perpetual debentures worth Bt6 billion, with Bt2 billion of green-shoe options. The key purpose of the issuance is to boost capital for upcoming expansion opportunities. “B Grimm has been beating investors’ expectation since its IPO in 2017, with its ability to develop and operate private power plants of all types, both inside and outside the country. We have expanded from 30 power projects with 1,646MW installed capacity to 45 projects with 2,892MW installed capacity in the course of just two years. We have also commenced two solar-power plants in Vietnam of 257MW and 420MW installed capacity, which are seen as the largest solar-power projects in Asean, in addition to a hydro-power plant in Laos. Now we are exploring investment opportunities in South Korea, Malaysia, Cambodia and the Philippines,” Preeyanart said. BGRIM is one of the core businesses under the B.Grimm Group, which has been leading and pioneering Thailand’s infrastructure development for over 140 years. With its businesses focused on electricity generation, B Grimm has been operating in Thailand for more than 20 years. Approximately 75 per cent of its power plant projects are based domestically, while 25 per cent are overseas. It aims to expand its power production capacity to 5,000MW by 2022.