SGD New Issue Review : Wing Tai Holdings 7Y 4.25%
WING TAI HOLDINGS
– New SGD 7YR transaction announced with initial guidance of 4.25% area and anchored on the back of very significant reverse enquiries from institutional accounts.
– Issue Size of SGD 120 million (capped)
COMPARABLES
WINGTAI HOLDINGS 4% 07/18 103.45 3.06%
WINGTAI HOLDINGS 4 ½% 09/22 101.50 4.27%
WINGTAI HOLDINGS 4 ¼% 03/23 99.10 4.38%
WINGTAI HOLDINGS 4.7% 02/24 100.75 4.60%
Ugly revenues.
Not overly leveraged and not expanding aggressively like Guoco which makes it a better credit which is the reason for its tighter coupon.
7 year interest rates at 2.25% today which give us a nice credit premium of 2%.
They did a 100 mio 10 year 4.7% issue earlier this year which I had missed and not not regular issuers these days having come a long way from their over leveraged days. https://tradehaven.net/market/bonds/new-issue-review-wing-tai-holdings-limited-sgd-10y/
Wingtai is a household name and most fund managers know them well. I applaud their strategy of sitting this property downturn out much like Capitaland (10 year at 3.8 %) and CDL are doing.
This bond should go down pretty well with investors with its magic 4% handle that is a leap and mile safer than the FCL perp, imo and offers a big pick up over the Lend Lease (Jurong Mall) unrated issue.
I got to run for a Rosh Hashanah lunch !
Happy Rosh Hashanah to all !
NEW ISSUE: WING TAI HOLDINGS SGD120M 7YR LAUNCHED @ 4%
I have to share this bit …..
“Orderbooks of S$300M (uninflated) as per last update. Deal is heavily anchored by institutional accounts.”
UNINFLATED ???
Might as well buy the 22s with a yield of 4.2%
I suspect there will not be any supply to offer.
Wingtai 4% 10/2021 opening 100.05/100.25
Hi Good morning Tradehaven. May I ask, regarding the SeD 8% perpetual, is it going to be offered in 250K per lot or it will be like hyflux 6% offered to retail clients thru atm machine at 10K per lot? many thanks.
Hey,
Frankly, I do not know more than what the article mentions. There is no other news about it anywhere else.
Sept. 25 (Bloomberg) — Co. to consolidate shrs 100-to-1; to issue S$300m listed and secured 8% perpetual bonds which will
entitle holders to 30% profit of bond-funded projects, according to statement today.
Hi tradehaven, many thanks for your kind reply and more thanks for the links. I will look out for more information as and when they are available. If it is available to retail clients as well, it will be great though i havent found out much about the company yet. Wondering if it will be a good buy. Hopefully the launching of the perpetual is something of the near future. Thanks again. Have a lovely weekend.