Indonesian courier services firm J&T Global Express (J&T Express) said Friday that it is looking to raise around HK$4.65 billion ($596.40 million) through an issue of convertible bonds.
The firm said in a bourse filing that based on the initial conversion price of HK$14.55 ($1.87) and assuming full conversion of the 2026 convertible bonds at the initial conversion price, the 2026 convertible bonds will be convertible into a maximum of 319.59 million new shares.
The company intends to use the net proceeds from the bond issue to further develop its overseas business and technology advancement, optimize its capital structure including share repurchase, and for general corporate purposes.
The issuance of the 2026 convertible bonds will enable the company to further expand its overseas business, including strengthening its presence in existing markets, enhancing local technological and operational capabilities, and improving network efficiency to better serve global customers.
In addition, it will provide additional liquidity to the company for general corporate uses and potential share repurchase activities.
Since its establishment in Indonesia in 2015, J&T Express has rapidly expanded its network covering 13 countries across Southeast Asia, China, Middle East and Latin America.