{"id":9230,"date":"2021-04-23T13:43:52","date_gmt":"2021-04-23T05:43:52","guid":{"rendered":"https:\/\/newmalaysiatimes.com\/?p=9230"},"modified":"2021-04-23T13:43:53","modified_gmt":"2021-04-23T05:43:53","slug":"petronas-prices-us3-0-bln-bond-offering","status":"publish","type":"post","link":"https:\/\/newmalaysiatimes.com\/?p=9230","title":{"rendered":"Petronas prices US$3.0 bln bond offering"},"content":{"rendered":"\n<p>KUALA LUMPUR, April 23 &#8212; Petroliam Nasional Bhd (Petronas) has successfully priced a US$3.0 billion (US$1=RM4.11) dual-tranche senior bond offering, comprising US$1.25 billion 10.75-year and US$1.75 billion 40-year conventional notes.<\/p>\n\n\n\n<p>The 10.75-year senior notes were priced at 92.5 basis points (bps) over the&nbsp;10-year US Treasury yield for a coupon of 2.480 per cent, and the 40-year senior notes were priced 115 bps over the 30-year US Treasury for a coupon of 3.404 per cent, Petronas said in a statement today.<\/p>\n\n\n\n<p>&#8220;Key highlights of the transaction include the lowest coupon and tightest issue spreads ever achieved by Petronas and any other Malaysian corporations in both the 10-year and 40-year bond tranches.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter size-large is-resized\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png\" alt=\"offering\" class=\"wp-image-8905\" width=\"504\" height=\"309\" srcset=\"https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png 600w, https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52-300x185.png 300w, https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52-163x100.png 163w, https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52-350x215.png 350w\" sizes=\"auto, (max-width: 504px) 100vw, 504px\" \/><\/figure><\/div>\n\n\n\n<p>&#8220;Petronas also achieved final pricing of 42.5 bps and 40 bps lower than its initial price guidance for the 10.75-year and 40-year bond tranches, respectively. The yields achieved on both tranches were lower than Petronas\u2019 existing secondary curve and borrowing costs,&#8221; it said.<\/p>\n\n\n\n<p>It said the highly sought after 40-year bond tranche was the largest ever by an ASEAN issuer and priced at a mere 22.5 bps over the 10.75-year bond yield \u2013 a far tighter spread than that achieved by most international and ASEAN issuers.<\/p>\n\n\n\n<p>&#8220;Supported by strong investor demand, Petronas was able to upsize the transaction size to US$3 billion based on total demand of US$7.4 billion \u2013 more than 2.46 times the enlarged issuance size.&#8221;<\/p>\n\n\n\n<p>The bonds were distributed to top tier international investors across the globe \u2013 with the 10.75-year distributed to investors in Asia (48 per cent), the US&nbsp;(43 per cent), and Europe and the Middle East (9.0 per cent), while the 40-year were distributed to investors in the US&nbsp;(46 per cent), Asia (40 per cent), and Europe and the Middle East (14 per cent).<\/p>\n\n\n\n<p>The national oil company said the issuance follows the US$600 million bond offering issued by Petronas Energy Canada Ltd. and guaranteed by Petronas in March 2021, and the previous US$6 billion multi-tranche offering in April 2020.&nbsp;<\/p>\n\n\n\n<p>&#8220;Use of proceeds will be for debt refinancing and general corporate purposes, thereby further optimising the balance sheet and extending Petronas\u2019 debt maturity profile,&#8221; it said.<\/p>\n\n\n\n<p>BofA Securities and Citigroup acted as Joint Global Coordinators and Joint Bookrunners, together with HSBC, Maybank, and MUFG as Joint Bookrunners.<\/p>\n\n\n\n<p>&#8212; <a href=\"https:\/\/www.bernama.com\/en\/news.php?id=1955033\">BERNAMA<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>KUALA LUMPUR, April 23 &#8212; Petroliam Nasional Bhd (Petronas) has successfully priced a US$3.0 billion&#8230;<\/p>\n","protected":false},"author":1,"featured_media":8905,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[524],"tags":[],"class_list":["post-9230","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-nation"],"featured_image_urls":{"full":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png",600,369,false],"thumbnail":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52-150x150.png",150,150,true],"medium":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52-300x185.png",300,185,true],"medium_large":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png",600,369,false],"large":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png",600,369,false],"1536x1536":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png",600,369,false],"2048x2048":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png",600,369,false],"newsium-slider-full":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png",600,369,false],"newsium-featured":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png",600,369,false],"newsium-medium":["https:\/\/newmalaysiatimes.com\/wp-content\/uploads\/2021\/03\/Screen-Shot-2021-03-30-at-12.13.52.png",600,369,false]},"author_info":{"info":["Editor"]},"category_info":"<a href=\"https:\/\/newmalaysiatimes.com\/?cat=524\" rel=\"category\">Nation<\/a>","tag_info":"Nation","comment_count":"0","_links":{"self":[{"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=\/wp\/v2\/posts\/9230","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9230"}],"version-history":[{"count":1,"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=\/wp\/v2\/posts\/9230\/revisions"}],"predecessor-version":[{"id":9231,"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=\/wp\/v2\/posts\/9230\/revisions\/9231"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=\/wp\/v2\/media\/8905"}],"wp:attachment":[{"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9230"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9230"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newmalaysiatimes.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9230"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}