Temasek-owned Vertex Venture Holdings, a private entity in the business of venture capital (VC), is issuing S$450 million of seven-year senior unsecured bonds with a 3.3 per cent coupon.
This is the first time Vertex is publicly issuing bonds. The funds raised will be used for refinancing of existing borrowings, redemption of any redeemable preference shares, financing of investments, general working capital and general corporate purposes, going by an investor presentation seen by BT on Wednesday.
The issuance was oversubscribed by about four times with an order book of over S$1.1 billion, Vertex later said in a statement. This is the first Singapore-dollar denominated public corporate bond issued by a global venture capital investment holding company.
The bonds are expected to be issued on July 28. The issuance will diversify Vertex’s sources of long-term patient capital and offer fixed-income investors exposure to the VC industry not previously seen in the SGD bond market, the company added.
Vertex Venture Holdings is an anchor investor in a global network of VC funds that invest in early-stage and growth-stage technology. It said its assets under management exceed US$4.5 billion.
