The Thailand Securities & Exchange Commission (SEC) has urged holders of four CHO bond series to review all available information and exercise their voting rights at a reconvened bondholders’ e-meeting on 10 April 2025, as Cho Thavee Public Company Limited seeks approval for multiple waivers and amendments linked to covenant breaches, potential events of default, and revised repayment terms. The SEC also requires the bondholders’ representatives to provide an analysis of the benefits, shortcomings and potential impacts on bondholders in both approval and non-approval scenarios. The meeting follows an earlier bondholders’ meeting on 1 April 2025 that did not meet quorum for certain bond series and agenda items. Proposals include waiving events of default related to (i) failure to maintain an interest-bearing debt to equity ratio not exceeding 5:1 as of 31 December 2024 (CHO21OA), (ii) default on any debt obligations exceeding a total of THB 300 million (CHO210A), and (iii) participation in debt restructuring negotiations alongside a request to extend maturity by two years as a deferral or modification of the repayment schedule (CHO228A and CHO229A). Bondholders will also be asked to approve cancellation of the requirement to maintain the interest-bearing debt to equity ratio (CHO21OA, CHO228A and CHO229A), waive default stemming from missed interest due on 17 March 2025 by moving the payment date to 30 April 2025 and cancelling immediate maturity and default interest as set out in bondholder-representative documentation, extend maturity by two years to 15 June 2027, and reduce current interest to 5.0 percent per year with remaining interest deferred from 15 June 2025 and payable at maturity or upon early redemption (from 7.75 percent per year on CHO212A and CHO21OA, and 7.25 percent per year on CHO228A and CHO229A). Bondholders are encouraged to contact the issuer or bondholders’ representatives for comprehensive information before voting at the electronic meeting scheduled for 14:00 on 10 April 2025.
Thailand Securities & Exchange Commission 2025-04-08
Thailand Securities & Exchange Commission urges CHO bondholders to vote on proposed default waivers and revised maturity and interest terms
The Thailand Securities & Exchange Commission urges holders of four CHO bond series to review information and vote at a reconvened e-meeting on 10 April 2025, as Cho Thavee Public Company Limited seeks approval for waivers and amendments related to covenant breaches and revised repayment terms. The SEC requires bondholders’ representatives to analyze the benefits and impacts of approval or non-approval. Proposals include waiving default events, extending maturity, and adjusting interest rates.