BANGKOK (Reuters) -- The Thai unit of DaimlerChrysler plans to issue three billion baht ($72.08 million) of three-year bonds in September to expand business and repay debt, a fund manager source said on Monday.
The DaimlerChrysler (Thailand) bullet bonds, to be offered to institutional investors, would be guaranteed by parent DaimlerChrysler, the world's fifth largest carmaker, the fund manager told Reuters. He said the company would hold roadshows to promote the bonds by the end of this month before deciding a coupon for the issue on September 9.
Bangkok Bank PCL and Deutsche Bank in Bangkok are among the lead underwriters for the issue.
Thai companies have taken advantage of rock-bottom interest rates to raise funds from the debt market to refinance debts or expand businesses.
Issuing baht-denominated bonds has also become popular with Thai subsidiaries of foreign firms as a way of hedging currency risk.