TRIS Rating has assigned an “A” rating to Bangchak Corporation (BCP) and BCP’s existing senior unsecured debentures, the company said in a press release on Friday.
At the same time, TRIS Rating has assigned the “A” rating to BCP’s proposed issue of up to Bt7,000 million in senior unsecured debentures. The assigned issue rating has replaced the rating of the proposed issue of up to Bt5,000 million announced on December 6, 2018, as the company decided to increase the bond size.
The proceeds from the new debentures will be used for refinancing, working capital, and business expansion.
The company said the ratings continue to reflect BCP’s long track record in oil refining and marketing businesses, its leading market position in the oil retailing business, and its diversification into green energy businesses. The ratings are partially offset by increasing leverage due to the company’s investment plan for the upgrade of its refinery and the expansion into new businesses.