Biwase Long An successfully issued the first 700 billion VND AAA bonds in Vietnam

Biwase Long An successfully issued the first 700 billion VND AAA bonds in Vietnam

A subsidiary of Binh Duong Water and Environment Corporation (Biwase, code BWE - HoSE) has successfully mobilized 700 billion VND in bonds with a fixed interest rate of 5.5%/year.

On the afternoon of December 17, Biwase - Long An Joint Stock Company (a subsidiary of Biwase) announced that it had successfully issued the first VND700 billion AAA bonds in Vietnam with a fixed interest rate of only 5.5%/year, the bond agent was Maybank Investment Bank (MSVN), the bonds were guaranteed by the Credit Guarantee and Investment Fund, a trust fund of the Asian Development Bank (CGIF).

This is the first AAA bond in Vietnam, with a 10-year term, fully guaranteed, unconditionally and irrevocably by CGIF. The entire capital raised will be used to double the capacity of Nhi Thanh Water Plant in Long An, adding 60,000 m³/day and night, to meet the increasing demand for clean water in the region.

Leaders of Biwase and Biwase Long An took souvenir photos with domestic and foreign investors at the announcement ceremony.

As a leading company in the water supply sector in Long An, Biwase – Long An is implementing a strategy to expand its capacity to meet the growing needs of the community. Mr. Nguyen Van Thien, Chairman of the Board of Directors of Biwase affirmed: “The successful issuance of AAA bonds is not only an important milestone for us but also creates a foundation for sustainable development projects in the future. We believe that the issuance of this bond will open up many new financial opportunities in the water supply sector and attract more investment in essential infrastructure projects, not only for the water sector but also for Biwase. We are committed to continuing to innovate, leading in the water supply sector, meeting the needs of the community and contributing to the sustainable development of clean water infrastructure in Vietnam”.

As the arranger and advisor of the issuance, Mr. Kim Thien Quang, General Director of Maybank Investment Bank, shared: “We are very proud to be the sole arranger for the first AAA bond transaction in Vietnam. This transaction not only marks a new milestone for Biwase – Long An but also reflects Vietnam’s ability to provide long-term capital for important infrastructure projects, especially in the field of clean water supply. This is also a clear demonstration of Maybank Investment Bank’s commitment to supporting local enterprises to access diverse sources of capital and promoting the sustainable development of Vietnam’s capital market.”

It is known that in recent years, the lack of clean water in Long An has become an urgent problem, deeply affecting the lives of people and the production activities of businesses in Long An province. Therefore, upgrading the capacity of Nhi Thanh Water Plant of Biwase - Long An is not only an essential need but also a strategic step, meeting the increasing demand for clean water in the area.

In particular, the water industry is a field with high investment requirements and long payback periods, so mobilizing stable and preferential capital sources such as the AAA credit-rated bond issuance of Biwase - Long An is extremely important. This is not only the first AAA-rated corporate bond in Vietnam, but also marks an important step forward for the domestic capital market.

Mr. Tran Tan Duc, Deputy General Director of Biwase, Vice Chairman of the Board of Directors of Biwase Long An.

“The successful issuance of AAA bonds is not only an important milestone for us but also lays the foundation for sustainable development projects in the future. We believe that the issuance of these bonds will open up many new financial opportunities in the water supply sector and attract more investment in essential infrastructure projects, not only for Biwase but also for the entire water industry,” added Mr. Tran Tan Duc, Deputy General Director of Biwase, Vice Chairman of the Board of Directors of Biwase Long An.

Source: https://baodautu.vn/biwase-long-an-phat-hanh-thanh-cong-700-ty-dong-trai-phieu-aaa-dau-tien-tai-viet-nam-d232889.html