Company Briefs :Singapore Airlines

Singapore Airlines

Singapore Airlines is proposing to offer $500 million of five-year fixed-rate bonds to both institutional and retail investors, with the offer to be upsized to $750 million if the response is overwhelming. The coupon rate of the bond is 3.03 per cent.

In a regulatory filing yesterday, the national carrier said that the proposed offer - under its $2 billion medium-term bond programme established on March 13 - includes a placement to institutional investors and relevant persons (each as defined in the Securities and Futures Act), and a public offer tranche that will be open to retail investors in Singapore.

The bonds are expected to comprise up to $500 million in aggregate principal amount of fixed-rate bonds maturing in 2024. The offer may be upsized to a maximum of $750 million if the bonds are oversubscribed.

The bonds will be issued in denominations of $1,000 with an issue price of $1,000, and are intended to be listed on the Singapore Exchange.

A bookbuilding process with institutional investors and relevant persons will commence shortly. DBS Bank has been appointed as the arranger of the programme, and DBS, OCBC Bank and the United Overseas Bank were named as the programme's dealers.

SIA was the first government-linked company to sell $150 million in bonds to retail investors in 2010, with a minimum subscription of $10,000.


Acromec

Engineering services provider Acromec has clinched a $7.6 million mechanical and electrical works contract for the construction of a poultry farm for Chew's Agriculture.

Acromec was appointed the nominated sub-contractor for the works, which includes the installation of the air-conditioning and ventilation, plumbing and sanitary, and electrical and fire-protection systems of the farm. This includes testing and commissioning, which will be completed by Dec 31.

The contract ties in with and is in addition to the letter of intent that its subsidiary Acropower signed with Chew's Agriculture on Dec 4 last year to operate a waste-to-energy power plant that will use chicken manure as feedstock.

The power plant will be situated on the poultry farm and the electricity generated will be sold back to the farm for its consumption.

The group added that its order book now stands at about $20 million.

A version of this article appeared in the print edition of The Straits Times on March 20, 2019, with the headline 'Company Briefs'. Print Edition | Subscribe