‘Bond retired using existing resources and no debt repayment until March 2023’ says company’s Vice Chairman
KIPCO – the Kuwait Projects Company (Holding) – has announced that it has repaid its US$ 500 million (KD 153.9 million) bond maturing on July 15, in addition to US$ 23.4 million (KD 7.2 million) in interest. KIPCO has no maturing debts for the next three years.
As part of its strategy, KIPCO regularly raises money in the local and international debt markets and will continue to do so with the aim of diversifying its investor base and providing the company with financial flexibility in cost and maturities. The US$ 500 million bond was issued in July 2010 for a ten-year tenure, under KIPCO’s EMTN program. The next bond maturity will be US$ 500 million on March 15, 2023.
Commenting on the transaction, KIPCO’s Vice Chairman (Executive), Mr Faisal Al Ayyar said:
“Despite the short and medium-term challenges that may arise due to COVID-19, we have been successful in retiring the US$ 500 million bond with existing resources, leaving the company with no debt maturity until March 2023. This reflects the soundness of our financial strategy and proactive management of our liabilities.”