PSA International unit prices US$650m 10-year notes at 2.25%; to be issued below par

PSA Treasury, a wholly-owned subsidiary of Singapore's port and terminal operator PSA International, will issue below par, at 99.822 per cent, US$650 million worth of guaranteed notes maturing in 2030.

The 10-year senior unsecured notes will carry a fixed coupon of 2.25 per cent per annum, PSA International said on Friday.

They are expected to be issued on April 30, 2020, under the US$3.5 billion global medium-term note programme of PSA Treasury and PSA International.

PSA International will use the net proceeds to finance its capital and operating expenditures and general corporate purposes, as well as to refinance borrowings.

The notes are unconditionally and irrevocably guaranteed by PSA International, and have been assigned a credit rating of Aa1 by Moody's.

PSA International has a credit rating of Aa1 (stable) by Moody's and AA (stable) by Standard and Poor's.

DBS Bank and HSBC are joint lead managers and bookrunners for the notes.

An application will be made to the Singapore Exchange to deal in, and for the listing and quotation of, the notes on the bourse.