WHA Group Successfully Placed Baht 4,000 Million Bond with Oversubscription, Confirming Solid Investors' Confidence

Bangkok - WHA Corporation Public Company Limited (WHA Group) has received significant demand to bond no.1/2020 with total offerings of Baht 4,000 million. This reflects investors’ solid confidence in the Company’s strong fundamentals, solid financials and clear business expansion plans.

Ms. Jareeporn Jarukornsakul, Chairman and Group CEO, is confident that the business will have been performing very well in the second half of the year, with continuous growth of the Logistics Business, in line with the e-commerce and consumer sector. In addition, the Company expects to receive a great deal from industrial land sale after the recovery of COVID-19 pandemic and plans to launch its 10^th industrial estate in the Eastern Economic Corridor (EEC), resulting in WHA Group having 12 industrial estates across Thailand and Vietnam. For the Utilities Business, the Company forecasts a higher sale volume of water than the first half of the year after the ease of drought situation. Furthermore, the Company’s Power Business is expected to reach a total of 590 equity MW in operation by the end of 2020. Meanwhile, as a result of the COVID-19 pandemic, the Digital Business is growing well. Also, the Company has signed the contract with customer to provide data center service of 109 racks. Furthermore, the Company received a license from the National Broadcasting and Telecommunications Commission (NBTC) to test 5G with the leading network service providers in its industrial estates. In addition, the Company has planned to monetize its assets to WHART and HREIT with a total value of approximately Baht 4,600 million by the end of this year, as planned.

Ms. Jareeporn Jarukornsakul, Chairman and Group CEO of WHA Corporation Public Company (WHA Group), reveals that the bond issuance No. 1/2020 by the Company totaling Baht 4,000 million, offering during 30 June to 2 July 2020 has received strong investors’ demand. There are 3 tranches of bond: the first with 3-year term matured in 2020 amounting Baht 2,050 million, the second with 4-year term matured in 2024 amounting Baht 1,450 million and the third with 5-year term matured in 2025 amounting Baht 500 million. The fixed interest rate are 3.30%, 3.75% and 4.20%, respectively. The successful bond issuance also reflects investors’ confidence in WHA Group’s robust business expansion plans, committed management, strong fundamentals and solid financial position.

With the proceeds raised from the issuance of bond, the Company has planned to use for debt repayment, CAPEX, new investment for business expansion, and/or working capital to support its business operations.

Tris Rating Co. has assigned WHA Group’s bond No. 1/2020 “A-“ rating, as of 24 March 2020. The bond offered from 30 June to 2 July 2020 were distributed via 3 underwriters, namely Kasikorn Bank, Siam Commercial Bank and UOB Bank.

Ms. Jareeporn said “For the second half of 2020, we will continue to grow our 4 business hubs, especially the Logistic Business which has strong demand from the growth in the e-commerce and consumer sector. The Industrial Estates land sale is expected to have a great deal from land sale after the ease of the COVID-19 pandemic. We also plan to launch our 12^th industrial estate, which will be 10^th in the Eastern Economic Corridor (EEC), from the potential customers, especially from China and Japan, who will return to invest after the travel restrictions are relaxed. This will be a positive sign for the investment climate in the country. We expect the overall industrial land sale for year 2020 will be resumed as planned. For the Utilities Business, the Company forecasts a higher sale volume of water than the first half of the year after the alleviation of drought situation from increasing demand by existing customers as well as demand from new customers. Furthermore, the Company is expanding its reclaimed water capacity. For the Power Business which currently has the total of 569 equity MW in operation, is expected to reach 590 equity MW by the end of 2020. For the Digital Business, resulting from COVID-19 pandemic, many entrepreneurs increased their digital interests. Also, the Company has signed the contract to provide data center service of 109 racks. Furthermore, we received a license from the NBTC to test 5G with the leading network service providers in our industrial estates.

Moreover, the Company has planned to monetize assets to WHA Premium Growth Freehold & Leasehold Real Estate Investment Trust (WHART), and Hemaraj Leasehold Real Estate Investment Trust (HREIT) worth approximately Baht 3,234 million, and Baht 1,357 million, respectively in Q4 2020. As of 1^st quarter 2020, WHART and HREIT have the occupancy rate of 91.9% and 95.3% respectively.”