ACAP Announces a Fifth Default after Failing to Provide Payment for Bondholders!

As Asia Capital Group Public Company Limited (ACAP) announced that the company could not be able to pay interest for bondholders of ACAP209A, due on 15 June 2020 that caused ACAP209A to default in accordance with Terms and Conditions governing the rights and obligations of the issuers and debenture holders.

The reason for this circumstance occurred because ACAP has not received repayment from the company’s loaners as expected. ACAP has planned to receive loan repayment from two customers but they could not repay because of the delay of loan approval from other financial institutions caused by the economic slowdown from the outbreak of COVID-19. Furthermore, foreclosed properties of the company have been affected by the outbreak of COVID-19 as well. Investors from Hong Kong have to postpone the flight schedule to inspect the properties indefinitely.

The current situation is not supporting ACAP to be able to solve cash flow problems in a full capacity. However, the company realized that the default of debenture caused bondholders to be worried. ACAP asserted that the company would like to take this opportunity to confirm that loans value including the value of foreclosed assets have more than the company’s liabilities and enough to repay to all bondholders.

Whenever the economy is recovered, ACAP stated that it would expedite to solve liquidity problems and return to pay interest and principle as soon as possible. The company will keep bondholders updated later.

 

ACAP209A is a debenture, issued by Asia Capital Group Public Company Limited (ACAP), due 14 September 2020 with the issuer’s right of early redemption. The offered amount is 196,500,000 Baht, while the remaining amount is still full. The interest default amount is 3,219,369.86 Baht.

 

More importantly, ACAP announced a default on 25 May 2020 for the ACAP20NA series, amounting 4,713,657.53 Baht.

On 15 May 2020, ACAP announced a default for the ACAP212A series, amounting 3,683,095.89 Baht.

On April 8, 2020, ACAP announced a default for the ACAP190A and ACAP207A series, amounting 12,503,437.26 Baht and 11,604,744.11 Baht, respectively.