...April 14, 2021 SINGAPORE (S&P Global Ratings) April 14, 2021--S&P Global Ratings today said that the Singapore-based ride hailing company, Grab Holdings Inc.'s (GHI) planned IPO and the expected US$4.5 billion cash proceeds will eliminate its 2023 maturity wall. It will also bolster liquidity to support future growth aspirations. We believe GHI's refinancing risk in 2023 will evaporate with the backdoor-style IPO, through a merger with a special purpose acquisition company (SPAC) on the U.S. Nasdaq market. GHI's 2023 maturity wall comprises convertible redeemable preference shares, and the redemption rights of the convertible bond holders will fall away with a public listing as they are converted into equity. GHI has heavily relied on funding from investors in the form of convertible securities, from which the company raised almost US$10 billion since 2014. Furthermore, the estimated proceeds of US$4.5 billion from the SPAC merger could provide GHI with additional cash buffer to support...
