WHA Utilities and Power Public Company Limited (WHAUP) has successfully issued debentures totaling of THB 2,500 million, including Green Bonds worth THB 800 million. The offering received a warm welcome from Institutional and high net-worth investors, being oversubscribed by over three times. This strong response reflects confidence in the company's business potential and strategy, reaffirming its leadership in utilities and power businesses along with its commitments on environment and sustainability.
Mr. Prapon Chinudomsub, Chief Financial Officer of WHA Utilities and Power Public Company Limited (WHAUP), revealed that the company achieved significant success in the offering of its 1/2024 debentures, totaling THB 2,500 million to institutional and high net-worth investors. The subscription period, held during 9-11 July 2024. The debentures consist of three tranches: Tranche 1 is a regular debenture of THB 400 million, with a 3-year maturity and a fixed coupon rate of 3.28% per annum; Tranche 2 is for green bonds totaling THB 800 million, with a 5-year maturity and a fixed coupon rate 3.53% per annum; Tranche 3, a zero-coupon bond of THB 1,300 million with 2-year and 10-month maturity and a discount rate of 3.20% per annum.
The proceeds from the issuance of these three tranches of debentures, particularly the THB 800 million raised from the green bond offering, will be used for investments in renewable energy projects. The remaining funds will be used to repay maturing debt and for working capital.
The success of this debenture issuance reflects investors' confidence in the company's business fundamentals, financial strength, and growth potential. It also demonstrates the company's commitment to conducting business with a focus on environmental, social, and governance (ESG) principles, which have always been integral to the company's operations.
The company's debentures have been rated A- with a "stable" outlook by TRIS Rating Co., Ltd. This credit rating reflects the company's strong operating performance, business fundamentals, and financial stability, as well as its consistent cash flow. For this debenture issuance, Kasikornbank Public Company Limited and Siam Commercial Bank Public Company Limited served as joint lead underwriters.
Mr.Prapon added that the company remains committed to expanding its business operations in various forms, both domestically and internationally. In the utilities sector, the company continues to focus on value-added water products and expanding its water services to new projects both within and outside of WHA Group's industrial estates. This includes advancing the development of the Smart Water Platform and seeking new business opportunities, such as environmental solutions. In the energy sector, the company continues to invest in the development of innovations and energy solutions, particularly renewable energy. Additionally, the company is exploring new business opportunities to create a New S-Curve such as electric vehicle charging stations to support WHA Group's Green Logistics business. This highlights the company's commitment to being a leader in comprehensive utility and energy businesses, driving innovation while prioritizing environmental, social, and governance (ESG) principles to achieve sustainable growth. This aligns with the business development direction under the mission WHA: WE SHAPE THE FUTURE.