Temasek public bond offer upsized from $100m to $250m

All 19,162 retail applicants who applied for Temasek's $100 million public offer for its latest five-year bond have received some allocation of the bonds.

Temasek and its wholly owned subsidiary Temasek Financial (IV) Private Limited, the bond issuer, are also exercising an upsize option to increase the bond's total offering to $500 million, in view of the demand from retail investors.

"This is to enable all valid applications under the public offer to receive some allocation," Temasek announced on the Singapore Exchange website yesterday.

The initial proposed total offering was at $350 million.

Temasek said in its launch announcement on Nov 15 that it would be offering a placement of $250 million in bonds to institutional, accredited and other specified investors, while a public offer of up to $100 million was available for local retail investors.

Under the upsize option, the public offer size is increased from $100 million to $250 million. There is no change to the final placement size.

Temasek said yesterday all public offer applicants applying for $13,000 and below - 44 per cent of them - received a full allocation.

More than half of the final public offer size was allocated to those who applied for less than $50,000, making up 76 per cent of applicants.

Temasek had received applications totalling nearly $650 million for its $100 million public offer.

This represents a subscription rate of about 6.5 times the initial public offer size of $100 million.

Temasek received over $1,542 million in bids from institutional, accredited and other specified investors for its placement offer.

The Temasek Bond guaranteed notes due 2026 will pay 1.8 per cent per annum in fixed interest rate.

Temasek had said the interest is payable at the end of every six-month period, and the bonds have a tenor of five years from the expected issue date of Nov 24, 2021.

Retail investors can check their allocations by logging into their Central Depository accounts.

A version of this article appeared in the print edition of The Straits Times on November 24, 2021, with the headline 'Temasek public bond offer upsized from $100m to $250m'. Subscribe