BTS Group Holdings Plc (BTSG) has successfully issued senior unsecured bonds to institutional and high net worth investors with 2.1 times oversubscription.

The company decided to exercise the greenshoe option, bringing total bonds issued to 13 billion baht.

The bonds were rated A by Tris Rating.

The three-tranche offering comprised a three-year bond with a fixed interest rate of 1.79% per year amounting to 1.5 billion baht, a five-year bond with a fixed interest rate of 2.53% per year amounting to 3.5 billion, and a 10-year bond with a fixed interest rate of 3.77% per year amounting to 8 billion.

The bonds were arranged by Bangkok Bank (BBL) and Siam Commercial Bank (SCB), the joint lead arrangers.

“We would like to thank investors for their trust and interest in subscribing to BTSG bonds, as well as BBL and SCB for their support and contribution,” said Surayut Thavikulwat, chief financial officer of BTSG.

“The proceeds will be used for debt refinancing. The success of this bond offering as well as previous transactions should lead us to continue offering bonds to meet investor demand going forward.”

The issuance of BTSG green bonds stemmed from the company’s strong inclination towards sustainable financing and to offer investment opportunities in environmentally friendly projects along the Pink and Yellow lines, he said.

The company wants to help reduce air pollution and provide convenient public transport in the Bangkok metropolitan area.

“BTSG was honoured recently as the first carbon-neutral rail transport company certified by the Thailand Greenhouse Gas Management Organisation,” Mr Surayut said.