Contents
INTERNATIONAL FINANCING REVIEW ASIA
JULY 6 2019 ISSUE 1097COVER STORIES
EQUITIES
04 Budweiser serves up King of IPOs
Budweiser Brewing Company APAC is looking to raise
up to HK$76.6bn from a Hong Kong IPO that could be
the world’s largest this year.
BONDS
04 China woos overseas bond buyers
China is expanding its footprint in international bond
markets as it looks to enhance its profile as global
attention is focused on trade tensions with the US.
LOANS
06 Trade war hits BRI financings
The trade war between the US and China is forcing
lenders to reassess, or even reject, financings linked to
China’s massive US$1trn Belt and Road Initiative.
NEWS
06 Malaysia adds debt to cut tolls
The government’s offer to acquire the holders of four
highway concessions will help its pledge to remove toll
charges, but will add to an already high federal debt.
07 Air India plans jumbo bond sale India is counting on a jumbo Rs220bn
bond sale to revive efforts to privatise debt-ridden national carrier Air India.
08 Four beat tech board targets Four companies priced IPOs on the
Shanghai tech board last week at a premium to average industry valuations.
08 Downgrade dents Laos bond plan Laos is considering its options after a
rating downgrade threatened to push up pricing for planned baht bonds.
PEOPLE & MARKETS
15 Asia IB Q2 fees hit three-year low
Asian investment banking continued its moribund start
to the year with the worst second quarter for three years
as activity fell across all asset classes bar DCMs.
16 Singapore reviews REIT gearing rules Singapore may relax the 45%
gearing limit on REITs to give them more flexibility to acquire assets.
16 Morgan Stanley nears China JV control Morgan Stanley’s Chinese JV
partner put a 2% stake up for sale, allowing MS to take majority control.
16 Who’s moving where... Bank of America Merrill Lynch has appointed
Peter Guenthardt co-head of Asia Pacific investment banking.
20 In Brief Hong Kong’s SFC has issued a lifetime ban to Tim Leissner, ex-
Goldman Sachs banker embroiled in the 1MDB money-laundering scandal.
ASIA DATA
44 This week’s figures
21 AUSTRALIA
Toronto-Dominion raised
A$1.25bn as the first Canadian
bank to offer TLAC Kangaroo
bonds. Copycat trades may
occur if pricing stacks up.25 CHINA
Guangzhou R&F Properties
priced a US$450m five-year
non-call three senior notes
offering at par to yield 8.125%,
inside initial guidance.30 HONG KONG
Chong Hing Bank is planning
dollar-denominated Basel III-
compliant AT1 capital securities
off a newly set-up US$2bn
MTN programme.33 INDIA
REC, formerly known as Rural
Electrification Corporation,
will seek board approval on
July 10 to raise up to Rs750bn
from bonds.35 INDONESIA
Perusahaan Listrik Negara has
picked six banks for a proposed
offering of 144A/Reg S US
dollar bonds, subject to market
conditions.36 JAPAN
Santander Consumer Finance,
rated A2/A–/A–, has raised
¥50bn from a dual-tranche
euroyen bond offering that
marks its biggest deal in yen.38 NEW ZEALAND
Auckland Council raised the
maximum NZ$150m from its
second Green bond offering
2bp inside the municipality’s
standard local secondary curve.38 PHILIPPINES
Metropolitan Bank & Trust has
raised Ps11.25bn from two-year
bonds at 5.5%. It increased the
issue size from its initial target
of Ps5bn due to demand.39 SINGAPORE
Thomson Medical Group has
mandated three for a potential
Singapore dollar bond offering.
This will be a debut issue from
the healthcare company.41 SOUTH KOREA
KDB priced its first Green
euro-currency bond, a €500m
five-year offering that drew
more than €2bn of orders from
104 accounts.41 TAIWAN
ShunSin Technology Holdings
has increased a three-year loan
to NT$3.9bn-equivalent from a
NT$3bn-equivalent target after
attracting a dozen banks.42 THAILAND
State-owned financial
institution Bangkok Commercial
Asset Management has
mandated two to lead a bond
offering of up to Bt15bn.43 VIETNAM
Tien Phong Commercial Joint
Stock Bank has mandated
MUFG as sole bookrunner to
arrange investor meetings in
Singapore and Hong Kong.COUNTRY REPORT