A number of listed Thai real estate developers are planning to issue debentures this year in order to maintain liquidity and cashflow, according to a survey conducted by The Nation newspaper.
The revenue raised will contribute to fulfilling loan repayments as well as providing funding for new residential projects, at a time when commercial banks are increasingly reluctant to provide credit to developers.
Property Perfect chief operating officer Dr Teerachon Manomaiphibul said the company is studying the possibility of a debenture issue of between Bt500 million and Bt1 billion in the first quarter of this year.
"Now, the banks are still providing loans for our projects. But should the country´s economy crash, we don´t know whether commercial banks will hold the credit line open for us. As a result, we have to manage our cash by issuing a debenture in the first quarter of this year," he said.
