Singapore, 14 June 2018 – Singapore Technologies Engineering Ltd (ST Engineering) today announced that its subsidiary, ST Engineering Financial I Ltd, has elected to redeem (Redemption) all of the outstanding US$500,000,000 4.80% Notes due 2019 (ISIN: XS0440041191) (Notes) guaranteed by ST Engineering and issued under its US$1.2b Multicurrency Medium Term Note Programme on 16 July 2018 (Redemption Date).
Details of the Redemption can be found in the accompanying Notice of Redemption dated 14 June 2018.
The recent rise in US Treasury yield has resulted in favourable conditions for the Group to redeem the Notes in accordance with the terms and conditions of the Notes. The Group’s capital employed will also be immediately reduced as a result of the early redemption of these Notes. To fund future growth as the need arises, the Group continues to be able to tap into financing with competitive terms in the prevailing environment.
This exercise is not expected to have any material impact on the consolidated net tangible assets per share and earnings per share of ST Engineering for the current financial year.