Vietnam's Vingroup to raise $500 mln in first international bonds sale

HANOI, April 2 (Reuters) - Vingroup, Vietnam’s biggest listed company, is seeking to raise $500 million through its inaugural issue of international bonds this year to pay loans and pump up the capital of its subsidiaries, the company said.

The international fundraising plan has just been approved by Vingroup’s shareholders, according to a company statement seen on Friday.

The bonds, which will be issued this year and listed on Singapore’s stock exchange SGX, will have a tenor of five years and a fixed or floating coupon rate, or a combination of both.

Interest will be paid biannually with bonds being able to be converted into shares of Vinhomes, its real estate subsidiary.

Vingroup, once a real estate and retail conglomerate, has grown to become Vietnam’s largest listed firm with a market capitalisation of over $18 billion.

It also deals in healthcare, education, autos and smartphones and plans to enter the artificial intelligence sector.

The company has so far issued 5 trillion dong ($216.78 million) worth of domestic bonds. ($1 = 23,065 dong) (Reporting by Phuong Nguyen; Editing by Martin Petty)