Astrea IV private equity bonds launched with retail tranche of S$121m

Class A-1 bonds carry an interest rate of 4.35%; investors can subscribe with a minimum investment of S$2,000

Genevieve Cua

Published Tue, Jun 5, 2018 · 09:50 PM

Singapore

THE Azalea Group, a Temasek unit specialising in investments in private equity, has launched its first PE-backed bond for retail investors, with a smaller-than-expected retail tranche of S$121 million.

The retail tranche of Class A-1 bonds carries an interest rate of 4.35 per cent. Subscription starts on June 6 and closes on June 12. Retail investors may subscribe via ATM with a minimum investment of S$2,000.

The bonds are expected to be issued on June 14. Trading on SGX is expected on June 18.

The total size of the A-1 tranche is S$242 million. Half of that, however, is a placement tranche that was marketed to institutions and accredited investors.

The tranches offered to institutions comprised S$121 million of A-1 bonds, US$210 million of A-2 bonds and US$110 million of Class B bonds. A-2 bonds carry an annual interest rate of 5.5 per cent, while B bonds ha…