TOKYO -- Nippon Express plans to raise 100 billion yen ($912 million) in debt capital over two years to consolidate Japanese warehouses and install labor-saving equipment, taking advantage of low interest rates to cope with a deepening shortage of workers.
The logistics group had been planning 200 billion yen in facilities spending in the three years through fiscal 2018 but will raise that figure to 300 billion yen. Of the fresh 100 billion yen, 60% is expected to come from bonds and the rest from bank loans. Nippon Express floated 20 billion yen in 20-year debt in July 2016 paying a coupon of just 0.7%, and expects similarly favorable terms this time around.
