SSI to issue bonds worth VND300 billion again

The company will issue 600 two-year bonds at a par value of VND500 million each. This is a type of non-convertible bond with secured property and priority payment as other secured debts, issued and paid in VNĐ, and issued in the form of book entries.

The interest rate is calculated on the basis of one-year interests for inpidual customers of five banks – Vietcombank, Vietinbank, BIDV, Agribank and VIB – plus amplitude.

The amplitude in the first 12 months is 1% annually; and from the 13th to the 24th month it is 1.2%. Bonds will be paid only once, at the time of maturity of the bonds; bond interest will be paid once a year.

The VND300 billion mobilised capital is expected to be used for underwriting, investing in listed bonds, and increasing the capital for SSI’s activities, but excludes other investments and stock trading.

This is the second time in 2017 that SSI has issued bonds, increasing the total value of bonds issued after both sessions to VND600 billion.

In January, SSI had issued bonds worth of VND300 billion to inpiduals and non-financial investors for persifying mobilised funds and raising medium-term capital in its capital structure.

At its annual shareholders’ meeting on April 21, SSI reported that the company’s business earnings for 2016 reached VND2.312 trillion, exceeding 60% of the target and up 28% against 2015. Its pre-tax profit was VND1.056 trillion, 11.24% higher than the target.

For 2017, SSI plans a consolidated revenue target of VND2.108 trillion and consolidated profit before tax of VND1.058 trillion.