On board with this plan, Quality Houses issued a THB 2 billion debenture last month, and the company plans to issue another, worth between THB 3 to 4 billion, in the second half of the year. The developer will use part of the proceeds to replace a debenture due to expire this year, and the rest to buy undeveloped land and construct residential project infrastructure.
Also, Ananda Development has successfully issued a THB 4 billion debenture this month, as part of a plan to reduce its financial costs to below 5 percent. Sansiri will issue a THB 3 billion debenture this year; THB 1 billion was issued in the first quarter, with the remainder slated for the second half. In addition, AP (Thailand) issued a THB 1.5 billion debenture early this year.
Others who expressed the intent to issue debentures include Pruksa Real Estate, Supalai and Land & Houses. Siam Commercial Bank reports that this year’s debt issuance by listed and non-listed developers is 10 percent higher than last year’s level, indicating that companies are looking to better manage their financial costs for the longer term.