Vingroup’s hospitality arm Vinpearl raises $150 mln bonds in Singapore

Vinpearl JSC, a leading tourism-entertainment service brand in Vietnam, has raised $150 million worth of five-year bonds in Singapore.

The firm sold 750 bonds, with maturity due on August 20, 2029, at a par value of $200,000 each, according to a filing to the Hanoi Stock Exchange (HNX), the operator of Vietnam’s bond market.

Vinpearl did not provide details on the coupon rate, collateral, or the purpose of the issuance.

The last time Vinpearl issued USD-denominated bonds was in September 2021, according to exchange data. It then raised $425 million in Singapore from selling 2,125 five-year convertible bonds at a rate of 3.25% per annum.

The firm said in a filing to the HNX in April that it earned a net profit of VND670.6 billion ($27 million) in 2023, down 84% year-on-year, resulting in an ROE of 5% versus 49% in 2022.

Its owner’s equity jumped 57.2% year-on-year to VND13,317 billion ($535.4 million) as of end-2023.

Its debt-to-equity ratio fell to 2.31x from 5.61x in 2022, while undue bonds halved to 0.94x.

In November 2023, Vingroup, Vinpearl’s parent company, decided to separate from Vinpearl and set up a new subsidiary named Ngoc Viet Business and Trading Joint Stock Company. The new entity will have a charter capital of VND20.42 trillion ($841 million), with Vingroup holding a 99.96% stake.

Vinpearl’s board of directors planned to list its shares this year.

Starting off with the Vinpearl Resort Nha Trang complex in 2001, Vinpearl now runs 36 hotels and resorts with over 18,500 rooms in 17 famous tourist destinations across the country, four amusement parks, two wildlife conservation parks, and four golf courses.