Singha Estate submits a filing request for the public offering of new debentures with maturities of 2 and 3 years with coupon rate of [4.50 - 4.70]% and [4.90 - 5.10]% per year. Expected to be offered to the general investors between January [7 - 9], 2025. The debentures have been assigned a “BBB” rating by TRIS Rating Co., Ltd. on November 21, 2024, placing them in the Investment Grade category while the Company has been assigned a “BBB+” with a “Negative” outlook.

Bangkok, December 2, 2024 - Following the success of its previous debenture offerings in 2023 and early 2024, with the total offering value of 2.7 billion baht, Singha Estate Public Company Limited (SET: S) is preparing to launch new debentures to the general investors. The company is currently in the process of submitting the registration statement and draft prospectus to the Securities and Exchange Commission (SEC) for the issuance of unsubordinated, and unsecured debentures with a debenture holders' representative in the name-registered certificate. The debentures will be offered in two tranches which will be; Tranche 1, a 2-years debenture with coupon rate of [4.50-4.70]% per year, and Tranche 2, a 3-years debenture with coupon rate of [4.90-5.10]% per year; both coupon rate will be payable every three months. The minimum subscription will be 100,000 baht, and subsequent subscriptions in increments of 100,000 baht. The debentures are expected to be offered to the public between January [7 – 9], 2025. In this regard, the Company has appointed four leading financial institutions as bond underwriters: Krungthai Bank, Kasikorn Bank, Kiatnakin Phatra Securities, and CIMB Thai Bank.

The debentures have been assigned a "BBB" credit rating by TRIS Rating as of November 21, 2024, indicating an "Investment Grade" rating while Singha Estate’s corporate credit rating is "BBB+" with a "Negative" outlook. According to TRIS Rating, the "BBB" rating reflects the company’s strong hotel asset portfolio, well-established residential brands, and stable recurring revenue streams from its commercial business.

Mrs. Thitima Rungkwansiriroj, Chief Executive Officer of Singha Estate Public Company Limited (SET: S), reveals with great confidence that the upcoming debenture issuance will receive excellent feedback from investors with assurance in the “Singha Estate” brand. Despite challenges in Thai bond market—particularly within the real estate development sector, which has been grappling with issues of confidence—the company is assured of continued growth, as evidenced by its performance over the first nine months of 2024. Singha Estate reported revenue of 11,431 million baht, marking a 13% increase compared to the same period last year. This demonstrates the company’s strong potential and ability to expand even amidst challenges in the real estate market, including intense competition and various external pressures, particularly in the residential development sector, which includes both horizontal housing and condominium projects. Singha Estate remains confident that its business strategy will continue to deliver strong results, as demand in the luxury home segment—its core target market—continues to grow. This is evident from the steady transfer of ownership in its Luxury and Premium Luxury Segment residential projects. Additionally, the company’s target customers, who have strong purchasing power, are driving sustained demand. To meet this demand, Singha Estate is advancing its development plans with a focus on high-quality projects in prime locations. By developing properties that cater to the needs and lifestyles of its residents, the company is positioning itself for continued success and sustainable growth as a leading real estate developer.

Looking ahead, Singha Estate plans to launch four new projects by the end of this year and into early next year, covering both the Luxury and Super Luxury Segments. These include a joint-venture condominium project in the Rama 3 area, as well as three detached housing projects under the SMYTH’S brand in two prime locations, including Ram Inthra and Kaset-Nawamin. Additionally, the company will launch the S'RIN Prannok-Kanchana project on Prannok-Kanchana Road. The total value of these developments exceeds 8.8 billion baht, underscoring Singha Estate’s strategy to focus on the high-end segment.

In the hotel sector, managed by S Hotel and Resort (SHR), a subsidiary of Singha Estate, the company has seen remarkable performance over the past nine months. This success is driven by renovations of key properties, including SAii Laguna Phuket, SAii Phi Phi Island Village, and Outrigger Fiji, which have significantly increased the Average Daily Rate (ADR). Additionally, the global tourism industry’s recovery has bolstered SHR’s results. SHR posted revenue of 7,746million baht from sales and services, and through efficient cost management, the company achieved a 30% increase in operating profit compared to the same period last year, or about 51% growth year-on-year. This underscores SHR’s strong growth potential, supported by the ongoing expansion of the tourism industry in Thailand and other countries where the company operates.

In the office building sector, the company has achieved certification for three international ISO standards across all four of its key projects: S-OASIS, S-METRO, SUNTOWERS, and SINGHA COMPLEX. Additionally, S-OASIS was awarded the Global Business Outlook Award 2024 for Most Innovative New Office Building Development, further reinforcing the company’s leadership in commercial real estate and office spaces. The company is committed to developing properties that meet the highest standards, enhancing both the quality of life and work environments for tenants. This aligns with the company’s vision of incorporating strong management practices focused on quality, environmental sustainability, and safety—key factors that make its office buildings stand out in a competitive market. As a result, these factors not only drive higher occupancy rates but also create continuous opportunities for space sales, even amid increasing competition.

In the industrial estate and infrastructure sector, the company continues to see positive momentum. The S Angthong Industrial Estate, with its strong infrastructure for electricity and water supply, along with lower utility costs compared to other economic zones, remains an attractive proposition for investors. This helps the company expand its target customer base going forward. So far this year, the company has recognized revenue from the transfer of 56 rai to investors and generated over 100 million baht in profit share during the first nine month from the three co-generation power plants in the S Angthong Industrial Estate, which began operations at the start of the year.

“Singha Estate is committed to continuously growing its business under the vision of 'Entrusted and Value Enricher,' creating sustainable value for all stakeholders while ensuring a balanced approach to operations. Our core business philosophy is rooted in integrity, social responsibility, and sound financial management. We are confident that these principles will give investors the assurance to participate in the company’s debenture offering,” said Mrs. Thitima.

The Singha Estate debentures are set to be offered to investors between January [7 - 9], 2025, through four leading financial institutions nationwide:

• Krungthai Bank: Tel. 02-111-1111 (Individual investors can subscribe online via Money Connect by Krungthai on the Krungthai NEXT application.)
• Kasikorn Bank:(Individual investors can subscribe online via https://www.kasikornbank.com/kmyinvest, except foreign nationals and juristic persons can subscribe through the head office andbranches.) Tel. 02-888-8888, ext. 819.
• Kiatnakin Phatra Securities (including Kiatnakin Phatra Bank as the sales agency of Kiatnakin Phatra Securities): Tel. 02-165-5555, and online subscriptions via the DIME! application.
• CIMB Thai Bank: Tel. 02-626-7777 (Individual investors can subscribe online via the CIMB Thai application.)

The company is currently in the process of submission of the registration statement and draft prospectus to the Securities and Exchange Commission (SEC)

The company is currently in the process of submitting the registration statement and draft prospectus to the Securities and Exchange Commission (SEC), which hasn’t been effective. For general investors interested in subscribing the debentures, more details can be obtained from the draft prospectus at www.sec.or.th

Disclaimer: Investing is risky. Investors should study and understand product characteristics, return conditions and risks before making an investment decision.