New Issue in SGD : KSH Holdings 2.5Y 5.25%
Not sure if this warrants a post.
KSH Holdings Markets 2.5-Year Singapore-Dollar Bonds at 5.25%
Issuer: KSH Holdings Ltd.
• Tenor: 2.5 year
• Price Guidance: 5.25% (the number)
• Format: Reg S
• Timing: Expected this week’s business, as early as today
• Person asked not to be identified because the terms aren’t set
Unfamiliar name to me.
But if we go by the recent issues – Centurion 3Y 5.25%, Marco Polo Marine 2Y 5.75%, Heeton 2Y 5.60%, Enviro-hub 2Y 8.5% and United Envirotech 2Y 7.25%, this one falls a little short for whatever China exposure there is.
The 2Y and 3Y interest rates happen to be on a very sensitive part of the curve because of the certain rate hikes in the future, so 2.5 years is smart to play to retail buyer’s ignorance.
Not many other comments except they did win a contract to build something in NEWest …..The Group has a 12.25% equity interest in Oxley Viva through its 35%-owned associated company, Unique Consortium Pte. Ltd., which has a 35% stake in Oxley Viva…..
** Oxley Viva – subsidiary of Oxley Holdings
I THOUGHT WE WERE OVER THE BLUMONT CROSS HOLDINGS SAGA ??
Need some air…. good luck folks !
Final Size SGD 75 mio. Cpn 5.25%.
Hello Tradehaven,
I note KSH’s 5.25’s are now “bidding” below par in the secondary market.
Bid price is now S$ 99.6. I got less than I applied for – so I presumed that the final issue size (i.e. S$ 75 Million) was less than the book’s had been run up to. May be one spurious trade ………… or maybe the banks have been left with a tad too much on their hands? We’ll see.
At this stage I’m disinclined to go in for more, given the apparent market reaction. This despite knowing a couple of their management of KSH and being impressed with their focus.
Hey JC,
Notice that for most of the other little issues done this year ? That is mainly to discourage selling sometimes because lines are really scarce for small names.
Good one Tradehaven – appreciated,
Come to think of it ……….. exactly the same thing happened with my ASL Marine 4.75%application – another tiddler where the paper over-subscribed during the initial offer, yet the price quickly turned a little below par ……. and has actually always stayed a little below par – I’m intending to keep the ASL note to maturity in 4 years time.
KSH rallied today. 100.65/101.15. Not sure if I am seeing it right.