PTTEP and Krungthai Bank join hands to offer “PTTEP Digital Bond”, Asia’s first fully-digitalized Corporate Bond via Wallet, providing Thai investors with simple and real-time trading on “Pao Tang” application, as Thailand Open Digital Platform. With only 1,000 Baht minimum subscription value and interest payment every 6 months, the investors will have equal opportunity to invest in corporate bonds and get steady returns, with “AAA” credit rating by TRIS Rating.
Montri Rawanchaikul, Chief Executive Officer of PTT Exploration and Production Public Company Limited (PTTEP) said that PTTEP will issue bonds to the general public in cooperation with Krungthai Bank. Launched through “Pao Tang” application, this will mark the first bond issuance via digital wallet in Asia. The minimum subscription is set to the unprecedentedly low value of only 1,000 Baht in order to allow retail investors to invest in PTTEP, Thailand’s national petroleum exploration and production company. The company is scheduled to determine the issue size by the end of October and the offering is set to be between 2-4 November 2021.
PTTEP Digital Bond is a long-term name-registered, unsubordinated, and unsecured bond with a bondholders’ representative. The bond, due in 2026, has the tenor of 5 years and bears a step-up interest rate with the minimum of 2.00% per annum and the maximum of 2.75% per annum, averaging to 2.25% per annum. The interest will be paid every 6 months. Investors can subscribe with subsequent multiples of 1,000 Baht and the maximum subscription is 10 million Baht. The bond was assigned “AAA”, the highest possible credit rating for domestic bonds, by TRIS Rating on 14 September 2021, reflecting the company’s robustness and financial stability.
“PTTEP has returned to issue bonds to the general public for the first time in 10 years. As a Thai national energy company, we’re pleased to offer an investment opportunity to Thai investors who expect Goals (SDGs) as it promotes inclusive and sustainable economic growth as well as the reduction of inequalities within the country. After this, we will continue developing and extending the range of products and services to sustainably empower a better life for all Thais,” Payong said.
Pakorn Peetathawatchai, President of the Stock Exchange of Thailand (SET), stated that Thailand Securities Depository (TSD) under SET is pleased to witness the successful offering of PTTEP’s digital bond via Pao Tang mobile application which is an important stepping stone toward being a financial innovation that makes basic financial services inclusive for all. This upgrade will contribute to the digitalization of the Thai capital market and give the country’s economy a sustainable competitive edge.
Investors who are interested in the PTTEP digital bond may download the Pao Tang mobile application prior to the subscription period. For further information, please refer to the prospectus available at www.sec.or.th and www.krungthai.com or contact Krungthai Bank at 02-111-1111.