The fixed-rate notes have a coupon rate of 5.25% per annum with a reoffer price of 99.646 to a yield of 5.296%. The reoffer spread is 110 basis points more compared to the 10-year US Treasury bonds due Feb 15, 2023 with a yield of 4.196%.
The US dollar (USD)-denominated notes have a 10-year tenor and are payable on a semi-annual basis.
The settlement date – or the date upon the finalising of the trade - will be on March 21. The notes will mature on March 21, 2034.
According to SIA, the proceeds will go towards aircraft purchases and aircraft-related payments. They will also be used for general corporate or working capital purposes, including the refinancing of existing borrowings of the airline.
Shares in SIA closed 3 cents higher or 0.47% up at $6.42 on March 14.
