Cambodia Investment Review
A signing ceremony is held between Overseas Cambodian Investment Corporation Ltd. (OCIC), Cambodia Airport Investment Co., Ltd. (CAIC) and Prudential (Cambodia) Life Assurance PLC for the investment of US$5 Million in the Techo International Airport (TIA) Guaranteed Bond through private placement.
The funds raised from the TIA Guaranteed Bond will be used for the construction and development of the TIA in Kandal province. The TIA project is currently 31.1% completed with a total amount of $434 Million (excluding airport land) already invested by CAIC.
The coupon rate of CAIC bond is 5.5% per annum with 3 years tenor and guaranteed by OCIC.
OCIC is the largest investment group and local conglomerate in Cambodia. The company’s core expertise is in real estate development, construction, property management, education, medical, shopping mall, hotel, rice mill, manufacturing etc with notable projects such as the TIA, Diamond Island City, Norea Island, Chroy Changvar Satellite City and Olympia City Complex.
CAIC is a joint venture between the Royal Government of Cambodia (RGC) represented by the State Secretariat of Civil Aviation and OCIC. The RGC has granted CAIC the rights to own, design, construct, finance, operate, maintain and manage the TIA Project.
Prudential is the largest insurer in Cambodia with over 200 million USD of assets under management and one of their key priorities is to help develop the financial markets and to support key infrastructure projects in Cambodia. The TIA bonds success sets the stage for future public sector infrastructure issuances and TIA will help accelerate Cambodia’s tourism sector growth.