KUALA LUMPUR: Yinson Production Offshore Pte Ltd has secured a US$500 million senior secured bond issue with a five-year tenor and a fixed coupon of 9.625 per cent per annum in the Nordic bond market.
In a statement, the company said this bond issue marks its debut in the international capital markets.
The net proceeds from the bond issue will be used to refinance Yinson Production's existing corporate loan and for general corporate purposes.
An application will be made for the bond to be listed on Oslo Børs in due course.
Yinson Production chief financial officer Markus Wenker said with this inaugural bond issue in the Nordic bond market, the company has expanded its financing toolkit and further broadened its funding base in an ever-changing financial markets landscape.
"The bond issue received significant interest from the investor community and was substantially oversubscribed.
"This reflects the compelling investment proposition underpinned by our long-term contracts and highly visible cash flows as well as the attractive floating production storage and offloading market environment," he noted.
DNB Markets and Pareto Securities acted as joint bookrunners and ABG Sundal Collier acted as joint lead manager in connection with the bond issue.