Barely two weeks from my last post regarding APTT, on Monday night APPT announced they have successfully refinanced its existing onshore borrowing facilities and extended its offshore borrowing facilities.
What has been done
At the third quarter results report the company the announced a debt management programme. As part of the programme, below are what has been done.
- Refinanced its existing NT$29 billion borrowing facilities to a new seven years facilities of NT$31 billion.
- Extend the maturity date of its existing offshore facilities from July 2019 to July 2021.
With the interest rate swaps covering over 80% of the outstanding onshore borrowing facilities, total annual interest costs are expected to be lower by approximately S$9 million from 2019. The revised dividends of 1.20 cents per year for 2019 and 2020 will also result in annual cash savings of over S$76 million.
With that, lets hope we can see APTT have a lower gearing ratio and debt level from 2019 onwards.