Bangkok, 12 February 2024 – The Securities and Exchange Commission (SEC), in collaboration with the Thai Bond Market Association (ThaiBMA), has developed a standardized sample of a bondholders’ representative appointment agreement. This initiative aims to facilitate and reduce costs associated with appointing a bondholders’ representative for bond issuers according to standardized procedures. Furthermore, it seeks to enhance the efficiency of bondholders’ representatives in fulfilling their duties and bolster the credibility and protection of debt securities investors. The SEC and ThaiBMA are seeking public feedback on the sample bondholders’ representative appointment agreement from 6 February until 5 March 2024.

The SEC and ThaiBMA emphasize the significance of the roles played by the “bondholders’ representative,” who serves as a crucial mechanism for safeguarding and advocating for bondholders. The bondholders’ representative is required to comply with the Securities and Exchange Commission B.E. 2535 (1992) and the Notification of the Capital Market Supervisory Board. Additionally, they are obligated to fulfill duties outlined in the bondholders’ representative appointment agreement, which prescribes the terms and conditions governing the obligations between the bond issuer and the bondholders’ representative. 

Therefore, the SEC and ThaiBMA have collaboratively developed the sample bondholders’ representative appointment agreement by revising and standardizing a widely used appointment agreement to offer convenience and cost reduction for bond issuers in establishing a standardized bondholders’ representative appointment agreement. Additionally, bondholders’ representatives can use the appointment agreement as a guideline to enhance the efficiency of their duties, which could contribute to stronger confidence and protection for debt securities investors. 

The consultation paper is available at https://www.thaibma.or.th/EN/Rule/PublicHearing/PublicHearing06022024.aspx. Stakeholders and interested parties are welcome to submit comments and suggestions on the draft sample bondholders’ representative appointment agreement to ThaiBMA through email: legal@thaibma.or.th. For further details and inquiries, please contact ThaiBMA Legal Department at 0-2257-0357, Ext. 276, 278 or SEC Bond Department at email: debt@sec.or.th. The public hearing runs from 6 February to 5 March 2024.

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