Assoc. Prof. Dr. Kessara Thanyalakphak, Managing Director of SENA Development Public Company Limited (SENA) announced that the company is preparing to issue and offer bonds for the second time in 2022 to general and institutional investors, with a total amount not exceeding 2 billion baht. This includes 2-year bonds with a fixed interest rate of 4.00% per annum and 3-year bonds with a fixed interest rate of 4.70% per annum, with interest payments every 3 months throughout the bond's term. The credit rating of the bonds is at 'BBB' with a 'negative' outlook, as rated by Tris Rating Co., Ltd. on May 31, 2022. These new bonds are non-subordinated and unsecured, with a bondholder representative. Subscriptions are expected to open from September 12 to 14, 2022, through six financial institutions: Kasikornbank (KBANK), Krung Thai Bank (KTB), CIMB Thai Bank (CIMBT), Kiatnakin Phatra Securities Public Company Limited (KKPS), Asia Plus Securities (ASP), and Krung Thai Xspring Securities (KTX).

The purpose of this bond issuance is to prepare funds for repaying bonds maturing in October 2022, amounting to 1.2 billion baht, and the remaining funds will be used for working capital in operations. Currently, Tris Rating Co., Ltd. has rated the company's credit and bonds at 'BBB' with a 'negative' outlook, reflecting the company's performance recognized in the mid to low-priced housing market and a high proportion of income from investments in joint ventures. The credit rating also considers the high household debt in Thailand and rising inflation, which may reduce the purchasing power of potential homebuyers and increase costs for operators in the short to medium term.

In the second quarter of 2022, the company reported revenue of 1,121.9 million baht, an increase of 33.9% compared to the same period last year, primarily due to increased income from rentals and services, with a net profit of 247.8 million baht, up 14.9% year-on-year. As of June 30, 2022, the company has a backlog of 9,139 million baht, which can be recognized as revenue until 2024. The company plans to launch 7 new projects in the third quarter of 2022, including SENA Kith Navanakorn Phase 1, SENA Kith Westgate Bang Bua Thong Phase 2, SENA Kith Bangna Km.29, SENA Kith Rangsit - Klong 4, SENA Ville Ram Inthra Phase 3, Flexi Suksawat 13, and SENA Ville Ring Road Bang Bua Thong.

Furthermore, 2022 marks a year of significant transformation for SENA, aiming to create substantial changes in business operations under the strategy “SENA Next,” a new dimension towards sustainable growth, to achieve goals and grow robustly while reinforcing the concept Made From Her “Thinking more carefully leads to better living”. The company aims to launch 49 new projects worth 27,480 million baht, partly due to the merger with JSP Property Public Company Limited, which allows SENA to expand its customer base in Bangkok, the surrounding areas, and provinces, covering all locations, along with a significant number of horizontal projects. The company targets a transfer value of 12,186 million baht and sales of 13,979 million baht.

At the same time, in terms of product brand development to cover and expand the customer base in new segments, this year SENA continues to focus on launching “SENA KITH,” a condo for thoughtful individuals, a fighting brand that received a positive market response last year, while also developing a new condo brand “Flexi” targeting the new generation of Gen Y and Z looking for their first home, along with a series of independent townhome projects under the brand “SENA Village.”

Additionally, there is a strong business partnership with Hankyu Hanshin Properties Corp, which provides confidence and trust in continuous collaboration on project development. In 2022, there are plans to develop 19 joint projects, both horizontal and vertical, with a total value of 13.9 billion baht.

“We believe that this bond offering will receive a positive response from institutional and general investors, just like in previous instances, as SENA bonds are seen as a viable investment option. SENA has stability and a credit rating that can provide satisfactory returns throughout the holding period,” Assoc. Prof. Dr. Kessara concluded.

For interested investors wishing to subscribe to the bonds, please contact the following 6 financial institutions:

Kasikornbank (individuals can subscribe online at https://www.kasikornbank.com/kmyinvest, except for foreign nationals and legal entities, who can subscribe through the head office and branches) Tel. 02-888-8888 press 819.

CIMB Thai Bank Tel. 02-626-7777 or subscribe via the Mobile application - CIMB Thai Digital Banking.

Krung Thai Bank Tel. 02-111-1111.

Krung Thai Xspring Securities Tel. 02-695-5000
Asia Plus Securities Tel. 0-2680-4004
Kiatnakin Phatra Securities Public Company Limited including Kiatnakin Phatra Bank Public Company Limited as a sales agency Tel. 02-165-5555.

Note: The company is in the process of submitting a registration statement and draft prospectus to the SEC, which is not yet effective.

Allocation is at the discretion of the bond distribution manager. The terms of the distribution are as specified in the draft prospectus.

Warning:   Please understand the nature of the product, terms, returns, and risks before making an investment decision. Investing carries risks. Investors should study the information in the draft prospectus before making an investment decision. Investors can find details in the registration statement and draft prospectus as detailed below.