Sri Trang bond issue five times oversubscribed

Bangkok - Sri Trang-Agro Industry Public Co. Ltd (STA) has reported that a THB2,000-million (€50 million) issue of senior unsecured bonds to investors on 19-21 July was five-times oversubscribed.

Demand, it said, reflected “confidence in business performance and the potential growth driven by the natural rubber industry outlook and the continuous growth in glove business amidst uncertainty under the Covid-19 situation.”

For the first quarter of 2021, STA posted its highest ever net profit, THB5,958.5 million, and 81% year-on-year growth in sales to THB31,579.5 million.

This followed 25% year-on-year sales growth in fiscal 2020, to THB75,479 million, and an all-time-high net profit of THB9,531 million at the Thai group.

"The bonds were well received by investors with five times oversubscription, representing investor confidence in our strong business and financial performance including the company’s potential growth,” said Veerasith Sinchareonkul, director, Sri Trang-Agro Industry Public Co. Ltd.

The company claims to be the world’s leading fully integrated natural rubber company and Thailand’s largest glove producer.