Tokai Carbon Co., Ltd.
Notice Regarding Determination of Terms for the Public Hybrid Bonds (Subordinated Bonds with Special Provisions)
Tokai Carbon Co., Ltd. will issue the 4th series of public hybrid bonds totaling 25 billion yen on March 25, 2026. The interest rate is 2.981%, with a redemption maturity of March 25, 2061.
Key Figures
- Total Bond Amount: 25 billion yen
- Initial Interest Rate: 2.981%
- Redemption Maturity: March 25, 2061
AI要約
Overview of Capital Policy
Tokai Carbon Co., Ltd. has decided to issue 25 billion yen of its 4th series of interest payment deferred, callable unsecured bonds (subordinated bonds with special provisions). The interest rate is initially 2.981%, with payment scheduled on March 25, 2026, and a redemption maturity date of March 25, 2061. Early redemption is possible from March 25, 2031, onwards, with interest payments made semiannually on March 25 and September 25. Interest payments may be suspended at the company’s discretion. The bond's repayment priority is subordinated to general creditors and senior to common shares. The bonds are rated BBB+ by Rating and Investment Information, Inc., and A- by Japan Credit Rating Agency, Ltd., with 50% capital treatment.
Impact on Shareholders and Future Outlook
These public hybrid bonds are debt instruments and will not cause dilution of shares. Nomura Securities Co., Ltd. serves as the lead managing underwriter along with several co-managers. The issuance will be conducted via a public offering format within Japan. Securities settlement will be handled by Japan Securities Depository Center, Inc., and the financial agent and related services by Mitsubishi UFJ Bank, Ltd. This issuance is expected to stabilize capital and strengthen the financial base.
