Olam unveils pricing of S$400m note at 6%

This venture is Olam's inaugural 10-year issuance.

In an SGX release, Olam International Limited, a leading global, integrated supply chain manager and processor of agricultural products and food ingredients, has priced a S$400 million issuance of 10-year Senior Notes under its US$2,000,000,000 Euro Medium Term Note Programme.

This transaction is Olam's inaugural 10-year issuance, and is the longest tenor and the largest issue size achieved by Olam in the SGD bond market, further boosting Olam's liquidity position and extending its debt maturity profile.

The transaction was successfully priced following an intra-day bookbuilding exercise, and attracted over 70 investors
across private banking, institutional accounts and banks, with an oversubscribed order book in excess of S$1.4 billion.

In addition to demand from private banking accounts, the transaction also saw strong participation from institutional investors such as fund managers and banks, which collectively were allocated 30%.

In terms of geographical distribution, the allocation was primarily to Singapore-based investors. The transaction, which priced at a final coupon of 6.0%, was well within the initial guidance, in the region of 6.25%, reflecting the quality of the order book.