Thai AirAsia Plans to Raise Up To $33.2 Million in Long-Term Unsecured and Secured Callable Debentures
Thai AirAsia (FD) (Bangkok Don Mueang, Thailand) plans to raise up to $33.2 million (Bt1.2 billion) in long-term unsecured and securitized debentures.
AirAsia's parent company, Asia Aviation, announced a debenture offer to the Thai stock exchange on September 20th. They're offering 1 million bonds at a price of THB 1,000 (US$27.6). Plus, they have a greenshoe option for an extra 200,000 bonds at the same rate.
Institutional and High Net-worth investors are invited to participate in the issuance of debentures, denominated in US dollars, which will be offered to them between the 25th and 27th of September and will be issued on the 28th of September. The debentures, which are officially referred to as 2/2023 Date B.E.2569, will have an annual rate of 6.9% and are classified as BB+ stable. They are expected to have a lifespan of 30 months.
At a press conference held by Thai AirAsia in Bangkok last month, the airline's Chief Executive Officer, Santisuk Chlokchaiya, declared that the company had achieved a 37% share of the domestic market in the first six months of the year, surpassing its pre-covid market share and aiming to become the dominant domestic carrier in Thailand. He further stated that the average passenger load factor across the network was 94%, with ticket prices 10-15% higher than prior to the pandemic. Santisuk further stated that the airline's fleet is set to expand to around 60 aircraft in 2024, compared to the current 53 aircraft.
Thai AirAsia's financials for the last three months of 2023 show that they lost a whopping $28 million, on a revenue of $10.036 billion. That's a huge jump from the same time last year, when they lost $4.723 million.
-By Biyu Chen |thetransporteronline24|Thai AirAsia
