Perpetual bonds/Indorama Ventures

Editorial staff

Indorama Ventures Plc (IVL), a global sustainable chemical company, plans to offer its “A” rated perpetual bonds to the public expectedly from 1-4 July 2024, with a coupon rate for the initial 5-year period set at 6.10% per year, payable semi-annually.

The proceeds will be used to redeem Indorama Ventures’ existing perpetual bonds on their 5th anniversary in November 2024.

The joint lead arrangers reported strong investor interest, supported by an “A” credit rating for the perpetual bonds and an “AA-” credit rating with a “stable” outlook for Indorama Ventures assigned by Tris Rating Company Limited as of April 30, 2024, reflecting the company’s strong financial and operational performance and sustainable growth path.

The bonds’ attractive yield supports investment returns during an anticipated downward trend in interest rates.

Furthermore, Indorama Ventures’ track record of issuing similar perpetual bonds in the past, redeemed every five years with consistent dividend payments, adds to this issuance’s appeal.

The perpetual bonds will be offered to the public through leading financial institutions, including Bangkok Bank, Krungthai Bank, Kasikornbank, Siam Commercial Bank, CIMB Thai Bank, Kiatnakin Phatra Securities, Krungthai XSpring Securities, Maybank Securities (Thailand), Yuanta Securities (Thailand), Asia Plus Securities, and Thanachart Securities. 

Indorama Ventures is one of the world’s leading chemical producers, with more than 140 sites in more than 30 countries spanning Asia Pacific, North America, South America, Europe, and Africa.

Under Indorama Ventures’ vision to be a world-class sustainable chemical company producing indispensable chemistry that touches billions of lives every day, its products are used in a wide variety of sectors, including food and beverage, hygiene, personal care, automotive industries, and many others.

The company's portfolio extends from upstream products, including necessary chemicals used to manufacture consumer goods to downstream products such as fibers, yarns, and 100% recyclable PET resins used in a wide variety of daily consumer necessities.

In the first quarter of 2024, Indorama Ventures reported an adjusted EBITDA of $366 million or more than 13,000 million baht, a 32% increase compared to the previous quarter. As of the end of March, the company's total assets totaled more than 627 billion baht.