Following the first Asian Private Placement Notes Issuance in September 2009, Royal Vopak (Vopak) announces its second successful senior unsecured Notes Issuance in the Asian Private Placement market. The proceeds will be used to fund Vopak’s Growth Strategy.
The SGD 225 million Notes, in which 7 Asian institutional investors are participating, have a ‘bullet maturity’ of 7.2 years and a fixed interest rate of 4%. DBS Bank Ltd. (DBS) acted as Sole Lead Manager and bookrunner on this transaction. Several of the Asian investors that participated in the first program, including DBS, also participated in this second Issuance.
After this new Issuance, Vopak’s further enhanced debt maturity profile -with original durations between 5 to 20 years- consists of approximately USD 1.4 billion US Private Placement Notes, SGD 435 million Asian Note Programs and a EUR 1 billion Revolving Credit Facility, which is almost fully available for drawdown.
Jack de Kreij, Vice-Chairman of the Executive Board and Chief Financial Officer of Vopak:
“The focus of our strategic finance funding policy is to ensure flexible access to various capital markets and funding sources to support Vopak’s Growth Strategy, facilitating a continuous balanced and wellspread debt maturity profile at appropriate terms and conditions matching Vopak’s solid credit quality. We are very pleased to note that besides the valued long standing relationship with the robust US private placement market we are also experiencing positive interest from the Asian capital markets in our company enabling us to establish a comparable position in this important growth region step by step.”
Profile
Royal Vopak is the world's largest independent tank storage service provider, specializing in the storage and handling of bulk liquid chemicals, gasses and oil products. Vopak operates 80 terminals with a storage capacity of 28.7 million cbm in 31 countries. The terminals are strategically located for users along the major shipping routes. The majority of its customers are companies operating in the chemical and oil industries, for which Vopak stores a large variety of products destined for a wide range of industries.