Vingroup plans to issue the first phase of bonds to the international market with a scale of 525 million USD.
Vingroup Corporation (VIC) has just announced the issuance of bonds to the international market in the first phase in 2022, with a scale of 525 million USD. Offer price for each bond is 1 million USD, expected to be exercised in May.
The bond issuance plan has been approved by Vingroup’s Board of Directors from the end of 2021. Accordingly, the group will issue international bonds with a maximum size of $1.5 billion. This is a bond with the option to receive shares of VinFast Manufacturing and Trading Joint Stock Company, with a term of 5 years.
The proceeds from the issuance are used to supplement capital for Vingroup to pay fees and expenses for the issuance of bonds, and to contribute capital directly to VinFast to implement the VinFast car production complex project.
According to the initial plan approved by the end of 2021, the bond offering is expected to be implemented in the first quarter of 2022. However, in April, Vingroup’s Board of Directors approved the amendment of the issuance plan, with an expected implementation time in 2022 and then continued to approve the implementation in two phases.
In early April, VinFast said that its Singapore-based parent company had filed an application for an initial public offering (IPO) with US securities regulators, after the company announced its plan to invested $4 billion to build a factory in North Carolina.
VinFast, which started operations in 2019, is betting on the US market, hoping to compete with automakers and startups with two electric SUVs and a battery-rental model to reduce prices. Fort.
Pham Nhat Vuong, Chairman of Vingroup, said that VinFast’s IPO will help build this electric vehicle maker into a global brand, but he added that “if conditions are not right, VinFast can wait.” wait”.
at Blogtuan.info – Source: vnexpress.net – Read the original article here