Villa Kun Alai Public Company Limited (“KUN”) is pleased with the response to its bond offering of up to 200 million baht with an interest rate of 7.10% (interest paid every 3 months). Institutional and major investors rushed to subscribe, confirming confidence in the company's growth since 2019, along with regular dividends for shareholders. The company has also received a credit rating from Tris Rating of BB / Stable and is ready to launch three new projects this year worth a total of 11 billion baht, aligning with the policy to develop real estate under the 'Villa Kun Alai in Four Directions' initiative around Bangkok and its suburbs.

Ms. Prawirat Tevaaksorn, CEO of Villa Kun Alai Public Company Limited (“KUN”), a developer of horizontal real estate projects in suburban areas, revealed that the company successfully offered bonds to institutional and/or major investors for up to 200 million baht. These long-term bonds are registered in the name of the holder, non-subordinated, unsecured, and have a bondholder representative. They have a term of 2 years and 9 months, maturing on May 18, 2026, with a fixed interest rate of 7.10% per annum, with interest paid every 3 months. The bonds received a credit rating of BB / Stable from Tris Rating on February 22, 2023.

The bond subscription period from August 15-17, 2023, received a positive response from institutional and/or major investors, reflecting their confidence in KUN's business operations, which have shown continuous growth. Revenue increased from 800 million baht in 2020 to 1 billion baht in 2022, with a consistent net profit averaging 115 million baht per year from 2020 to 2022. In the first six months of 2023, total revenue was 396.50 million baht, with a net profit of 26.3 million baht, demonstrating the potential of this small real estate company, which has projects supporting long-term growth through effective investment strategies. Importantly, it can continuously and consistently return dividends to shareholders under a policy of paying no less than 40% of net profit.

“As a management team, I would like to thank institutional and/or major investors for their trust and support for KUN's bond issuance, which reinforces our success and reflects confidence in the company's fundamentals, as well as our ability to maintain good profitability and our commitment to expand and develop the Villa Kun Alai project in all four directions around Bangkok and its suburbs, in line with the company's objectives,”

Regarding the purpose of this bond offering, the funds will be used for land acquisition for future project development amounting to 40 million baht, while the remaining 160 million baht will be used as working capital for new project development, aiming to double business growth in the future, targeting revenue to reach 2 billion baht by 2027, and to strengthen the company's financial position.

Additionally, KUN plans to continuously launch new projects, with three new projects worth a total of 11 billion baht planned for 2023, including the Kun Alai Perra (Bang Bua Thong), Kun Alai Navara (Rama 2), and Kun Alai Navara (Rangsit-Klong 2) projects, with revenue recognition starting from the third quarter of 2023 onwards.

“The Kun Alai Navara Rangsit-Klong 2 and Kun Alai Navara Rama 2 projects have received excellent responses. As of the end of July, the Kun Alai Navara Rama 2 project had pre-sales of 155 million baht, with increasing walk-in traffic. Meanwhile, the Kun Alai Navara Rangsit-Klong 2 project had its soft opening in July, achieving pre-sales, with revenue recognition expected in the fourth quarter of 2023. The Kun Alai Perra project was approximately 40% completed by the end of July, with pre-sales of about 57 million baht.”