Skylink sells $5m bonds at 8% to boost credit business

The two-year issue is unlisted and pays interest every six months.

Skylink Holdings Limited has completed its fully subscribed $5m hire purchase bond issuance to fund the expansion of its credit business, the company said.

The two-year, unlisted bonds carry an annual coupon rate of 8%, payable semi-annually, and will support the group’s hire purchase financing for new and pre-owned commercial vehicles.

Skylink announced on 30 September that the proceeds could support at least $30m in additional loan book growth, potentially increasing the group’s hire purchase loan book to more than $100m across financial years 2027 and 2028.

“This non-dilutive funding structure provides additional financial capital and flexibility as
the group targets to expand its income-generating loan books beyond the current $66.24m base,” said Teh Wing Kwan, Skylink’s non-independent non-executive chairman.

Skylink said its credit business has historically generated returns of more than 30% for every $1 of capital deployed, with financed commercial vehicles serving as collateral.

In FY2026, the group maintained a non-performing loan ratio below 0.5% and a delinquency ratio below 2%, whilst recording no defaults across its banking relationships since the business began.