FundraiseSep 18, 2026, 18:24 UTC

Kasikornbank raises $800M in Tier 2 notes as orders hit $2.6B

What's the deal? Thailand's Kasikornbank has issued $800 million of subordinated notes qualifying as Tier 2 capital, sold to overseas investors through its Hong Kong branch. The 10-year notes carry a 6.278% interest rate and are callable at year five.

Why now? The issuance comes ahead of the redemption of the bank's existing Tier 2 subordinated notes in October 2026. It forms part of what the bank calls its long-term capital management plan.

What's the endgame? "This subordinated notes issuance forms part of the Bank's long-term capital management plan," said Chongrak Rattanapian, president of Kasikornbank, adding that the bank aims to keep capital "at an appropriate level while exercising disciplined funding cost management."

The notes, rated Ba1 by Moody's, are listed on the Singapore Exchange. BNP Paribas, Citigroup, J.P. Morgan, and Standard Chartered Bank acted as joint lead managers.

By the numbers: The offering drew orders of roughly $2.6 billion — more than three times the amount raised. More than 60% of the notes went to investors in Asia, with the rest allocated to Europe and other regions, including new accounts such as sovereign wealth funds.

The signal: At $800 million, the deal sits in the top 10% of post-IPO debt rounds in Thailand over the past four years. The heavy oversubscription points to steady international appetite for emerging-market bank capital.

Image credit: Swami Stream