MTC to Issue and Offer 3 New Tranches of Bond with Interest Rates Ranging from [3.50 - 4.20]% Per Annum, elevating its credit rating to A-(tha) from Fitch Ratings, expected to be offered between 28 - 30 October 2024

Mr. Parithad Petampai, Deputy Managing Director, disclosed that the company has submitted a filing of the debt securities offering information and a draft invitation letter to the Securities and Exchange Commission (SEC) to issue and offer specified name debentures, non-convertible, unsecured bonds with bondholders' representative to the general public (Public Offering). The bonds include:

Tenor of 2 years and 3 days, with a fixed interest rate of [3.50 - 3.60]% per annum.
Tenor of 3 years and 2 days, with a fixed interest rate of [3.80 - 4.00]% per annum.
Tenor of 4 years and 7 days, with a fixed interest rate of [4.00 - 4.20]% per annum.

The final interest rates will be announced at a later date. All three series of debentures will pay interest every three months throughout their respective tenors. The offering is expected to take place between October 28–30, 2024. As of September 12, 2024, the company’s credit rating and, as of September 19, 2024, the debentures' credit rating were both affirmed at Investment Grade A-(tha) with a "Stable" outlook by Fitch Ratings (Thailand). The company’s credit rating has been upgraded from BBB+ to A-. The proceeds from this issuance will be used to repay existing debentures and/or support the continued expansion of the company’s loan portfolio. MTC targets loan growth of 15-20% this year while maintaining its NPL ratio below 3.2% and is confident in achieving its goals as planned.

The credit rating assigned by Fitch Ratings (Thailand) reflects Muangthai Capital's strong leadership in the vehicle title loan business, with the largest branch network and extensive experience in the industry. It also highlights the company's effective asset quality management, which aligns with its targets, as well as its solid financial performance.

“For over 30 years, the company has been a part of creating equal and fair financial opportunities, improving quality of life, reducing inequality, and fostering a happy society. Additionally, MTC has continuously supported sustainable economic growth in line with the United Nations' Sustainable Development Goals (SDGs). The company is committed to operating with good governance, considering the impacts on all stakeholders, and has been recognized with an AA rating on the MSCI ESG Index in the Consumer Finance category in 2023. MTC has also been included in the SET ESG Ratings 'Sustainable Stock List' at an A level for five consecutive years in 2023, based on its performance in economic, social, and environmental dimensions. Moreover, MTC received an Excellent CG Scoring (5-star) in corporate governance from the Thai Institute of Directors (IOD) for the sixth consecutive year in 2023. Ensuring the company can continue its operations in line with its sustainability objectives," Mr. Parithad said.

Mr. Parithad Petampai further stated that, for the second quarter of 2024, the company had a total outstanding loan balance of 154,672 million baht, an increase from 143,318 million baht at the end of 2023. For the second quarter of 2024, the company reported total revenue of 6,832 million baht and net profit of 1,444 million baht, an increase from the same period last year, which saw revenue of 6,041 million baht and net profit of 1,200 million baht.

For the first six months of 2024, the company’s total revenue was 13,463 million baht, with net profit reaching 2,833 million baht.

Regarding branch expansion, in the second quarter of 2024, the company opened 192 new branches, bringing the total number of branches to 7,980.

Additionally, in the second quarter of 2024, the company maintained a Non-Performing Loan (NPL) ratio of 2.88%, improving from 3.03% in the first quarter of 2024. The company’s Credit Cost decreased to 3.04%, down from 3.12% in the first quarter of 2024.

The company is currently in the process of submitting the filing and draft invitation letter, which are not yet effective. For general investors interested in subscribing to debentures of Muangthai Capital Public Company Limited (MTC), the minimum subscription amount is 100,000 baht, with increments of 100,000 baht. More details can be found at www.sec.or.th or by contacting the financial institutions that act as the bond issuance managers as listed below.

Bangkok Bank Public Company Limited (except for Micro branches) Tel. 1333 or subscribe via the Bualuang mBanking app for individual general investors.
Kasikornbank Public Company Limited (subscriptions for individuals can be made online via https://www.kasikornbank.com/kmyinvest, except for foreign nationals and corporate entities, who must subscribe at the bank's headquarters or branches) Tel. 02-888-8888 ext. 869. Including, Kasikorn Securities Public Company Limited, as a sales unit of Kasikornbank Public Company Limited.
CIMB Thai Bank Public Company Limited (subscriptions for individuals can be made online via the Mobile Application - CIMB Thai) Tel. 02-626-7777.
Asia Plus Securities Company Limited Tel. 02-680-4004.
Maybank Securities (Thailand) Public Company Limited Tel. 02-658-5050.
Krungthai XSpring Securities Company Limited Tel. 02-695-5000.
DAOL Securities (Thailand) Public Company Limited Tel. 02-351-1800 ext. 1.
CGS International Securities (Thailand) Co., Ltd. Tel. 02-846-8675.
BlueBell Securities Company Limited Tel. 02-249-2999.
Krungsri Securities Public Company Limited Tel. 02-638-5500.
Pi Securities Public Company Limited Tel. 02-205-7000.
Yuanta Securities (Thailand) Company Limited Tel. 02-009-8351-59.
Globlex Securities Company Limited Tel. 02-687-7543.
Thanachart Securities Public Company Limited Tel. 02-779-9000.
Kiatnakin Phatra Securities Public Company Limited Tel. 02-165-5555
Beyond Securities Public Company Limited Tel. 02-820-0100
UOB Kay Hian (Thailand) Securities Public Company Limited Tel. 02-659-5272-73

Note: The company is currently submitting the bond offering registration statement and draft prospectus to the SEC, which are not yet effective. The bond allocation will be at the discretion of the bond distributors, and the terms and conditions will be as specified in the draft prospectus.

Investment Warning: Please ensure you understand the product characteristics, terms, returns, and risks before making an investment decision. Investments carry risks. Investors should study the information in the draft prospectus before making an investment decision. You can find more details in the bond offering registration statement and draft prospectus from the QR code below.

QR Download

Prospectus

Prospectus for the Bond Offering and Subscription