Sembcorp Financial Services will also be paying a one-time break funding cost to each bondholder who has submitted a claim, in connection with the redemption of the bonds.
Sembcorp Financial Services says it intends to fund the redemption price through a mix of drawdowns under its credit facilities and cash. The refinancing is expected to achieve annual interest cost savings of approximately $25 million to $35 million.
Shares in Sembcorp Industries closed 6 cents higher or 4.1% up at $1.54 on Oct 27.
See also: Sembcorp Industries and SP Group to jointly develop environmental sustainability platform
