“Major Development” defies market trends, selling 400 million baht in bonds completely on the first day of offering, indicating investor confidence in performance and satisfaction with the 6.8% interest rate that attracts them. It reveals a strong backlog of 10 billion baht, with continuous revenue recognition.

Ms. Petchlada Phunvoralak, Executive Director of Major Development Public Company Limited (MJD), revealed that “the company opened the bond offering with a total value of 400 million baht for institutional and large investors from June 22-24, 2020. After the first day of sales, it received an excellent response, leading to the complete sale of the 400 million baht bonds.”

The bonds have a term of 2 years and 6 months with a fixed interest rate of 6.80%, with interest payments made every 3 months throughout the bond's term. The bond distribution was managed by two firms: Globlex Securities Co., Ltd. and Krung Thai Securities Co., Ltd.

“The bond offering this time received an excellent response from investors and is considered a satisfactory response compared to the bond offerings in the real estate sector in the past. This indicates that investors still have confidence in MJD's direction and performance, which continues to grow despite facing various limitations during the COVID-19 situation, as well as satisfaction with the returns from the interest rate, which is attractive compared to other investment channels,” Ms. Petchlada stated.

Ms. Petchlada further stated, “For this fundraising plan, the company will use 270 million baht as working capital and for business expansion throughout 2020, which will help ensure that both revenue and profits meet the set targets. Meanwhile, the remaining approximately 130 million baht will be used to repay promissory notes due in August.”

During the first quarter of 2020, the company was not significantly affected by the COVID-19 situation, as it was still able to transfer ownership of newly completed projects like the Metris Rama 9-Ramkhamhaeng project as planned, resulting in first-quarter revenue of 1,993.07 million baht and a net profit of 198.43 million baht. At the same time, the company had a backlog of about 10 billion baht at the end of the first quarter of 2020, which will be gradually recognized as revenue until 2025, while also preparing to invest in further business expansion in 2020 and into 2021.

According to the credit rating agency TRIS Rating on July 19, 2019, Major Development Public Company Limited received a credit rating of “BB+, Stable.”

Major Development Public Company Limited is a developer of luxury real estate projects, with three main business groups: 1. Residential development for sale, 2. Commercial real estate projects, and 3. Services related to real estate. The company has a vision for continuous growth to create luxury projects that meet consumer demands.