COUNTRY REPORT CHINAThe issuer, guarantor and the two
keepwell providers are ultimately wholly
owned units of BoCom.
The benchmark-sized Reg S notes,
expected to be priced today, have initial
ratings of A–/A (S&P/Fitch).
BoCom , BoCom International , Agricultural
Bank of China, Hong Kong branch , BNP Paribas ,
CICC , HSBC , MUFG and Westpac were joint
bookrunners and joint lead managers on
the issue.
› CIFI RAISES DEBT-REFINANCING FUNDS
Chinese property developer CIFI HOLDINGS
(GROUP) , rated Ba3/BB–/BB, on Tuesday priced
US$300m 5.5% five-year non-call three
senior unsecured bonds at 99.462 to yield
5.625%.
Initial price guidance for the Reg S issue
was 5.875% area.
Orders totalled around US$650m from 43
accounts, including demand from the leads.
Asian investors bought 90% of the notes
and European accounts purchased the rest.
In terms of investor types, a combined 50%
were fund managers and securities firms,
31% were private banks and 19% were
banks.
The notes have expected ratings of B1/
B+/BB.
The Hong Kong-listed company plans to
use the proceeds for debt refinancing.
Guotai Junan International , HSBC , Standard
Chartered , ABC International , Citigroup , CLSA ,
Credit Suisse , Deutsche Bank , GF Securities ,
Goldman Sachs and Haitong International were
joint bookrunners, according to a company
announcement on the Hong Kong stock
exchange. An earlier pricing announcement
from the bookrunners did not name GF
Securities.
› FOUNDER TWO-PIECE PULLS BIG ORDERS
PEKING UNIVERSITY FOUNDER GROUP has attracted
final orders of over US$5.4bn for US$600m
of dual-tranche US dollar senior unsecured
notes.
The state-owned conglomerate priced
both the US$200m 4.70% three-year notes
and the US$400m 5.35% five-year notes at
par. The prices were the tight ends of final
guidance and well inside the initial 5.05%
and 5.65% areas, respectively.
Proceeds will be used for general
corporate purposes.
The three-year tranche drew orders of
over US$2.2bn. Hong Kong took 64% of
the notes, Singapore 28%, and Europe and
others 8%. In terms of investor types, 62%
were fund managers and asset managers,
20% were banks, 15% were private banks,
and 3% were insurers and others.
Orders for the five-year tranche were
over US$3.2bn. Hong Kong took 55% of
the notes, Singapore 30%, and Europe and
others 15%. In terms of investor types, 60%
were fund managers and asset managers,
23% were banks, 15% were private banks,
and 2% were insurers and others.
The issuer of the Reg S unrated notes
is Nuoxi Capital and the guarantor is
Hongkong JHC, a 94.17%-owned subsidiary
of Founder Group.
The notes have the benefit of a keepwell
deed and a deed of equity interest purchase
undertaking from Founder Group.
Bank of China , Barclays , DBS Bank and
Founder Securities (Hong Kong) were joint
global coordinators, joint lead managers
and joint bookrunners.
Founder Group is a 70%-owned unit
of Peking University. Beijing Zhaorun
Investments Management, a holding
company of the group’s employees, owns
the remaining 30%. It has businesses in
information technology, healthcare and
pharmaceuticals, finance and securities,
bulk commodities trading, education and
training.› GUANGXI GROUP PRINTS THREE-YEARGUANGXI FINANCIAL INVESTMENT GROUP , rated Ba1
(Moody’s), has compiled final orders in
excess of US$1.45bn from 63 accounts for
US$500m of three-year US dollar senior
unsecured bonds.
The 5.75% Reg S notes were priced at
99.458 to yield 5.95%, the tight end of final
guidance of 6.00% (plus or minus 5bp) and
30bp narrower than initial guidance in the
6.25% area.
Asia took 98% of the notes and Europe
took 2%. In terms of investor types, 43%
were banks, 41% were funds and insurers,
while 16% were private banks and others.
The notes have an expected rating of Ba1
from Moody’s.
Proceeds will be used for domestic
debt repayment and for general working
capital.
CCB International , CEB International , ICBC
(Asia) , Guotai Junan International and DBS
Bank were joint global coordinators, as
well as joint bookrunners and joint lead
managers with Mizuho Securities , Natixis , GF
Securities , China Minsheng Banking Corp Hong
Kong branch , Founder Securities (Hong Kong)
and Central Wealth Securities Investment. Cantor
Fitzgerald (Hong Kong) Capital Markets was also
a joint lead manager.
Guangxi Financial is a state-owned
financial firm with focus on providing
financing services to small and medium-
sized enterprises micro enterprises and
agricultural enterprises in the Guangxi
Zhuang Autonomous Region in southern
China.› GUANGXI CIG GETS SOLID ORDERSGUANGXI COMMUNICATIONS INVESTMENT GROUP , rated
Baa3/BBB (Moody’s/Fitch), compiled final
orders of over US$1.8bn from 95 accounts
for an offering of US$200m of US dollar
senior unsecured bonds.
The group priced the 3.875% three-year
Reg S bonds at 99.669 to yield 3.993%, or
Treasuries plus 182.5bp, the tight end of
final guidance of 185bp (plus or minus
2.5bp) and well inside the initial 215bp
area.
Sino Trendy Investment is issuer and
Guangxi Communications is guarantor of
the notes, which have an expected rating of
BBB from Fitch.
Proceeds will be used for general
corporate purposes.
Asia took 90% of the notes and Europe
took 10%. In terms of investor types, 49%
were banks, 36% were fund managers, a
combined 10% were hedge funds, private
banks and securities, and 5% were insurers.
CCB International , CMBC Capital , Guotai
Junan International and Societe Generale were
joint global coordinators, as well as joint
bookrunners with ICBC International and
SPDB International.
Guangxi Zhuang State-owned Assets
Supervision and Administration
Commission owns Guangxi
Communications, which plays a strategic
role in the construction and development
of transportation infrastructure, including
expressways and toll roads, in the
autonomous region.
Among the group’s other businesses are
refined oil and trading of steel, asphalt and
mineral products.› TIANJIN ISSUER PRINTS 364-DAY NOTETIANJIN REAL ESTATE GROUP has priced US$150m
364-day US dollar senior unsecured notes
at par to yield 5.5%, tighter than initial
guidance of 5.75%.
Tianfang Jincheng (BVI) is the issuer of
the Reg S unrated notes and Tianjin Real
Estate is the keepwell deed provider.
Proceeds will be used for loans
repayment and general working capital.
Haitong International and Orient Securities
(Hong Kong) were joint global coordinators
as well as joint lead managers and joint
bookrunners with Fortune Securities and
Victory Securities.› JINJIANG PRINTS DEBUT EURO BONDSJINJIANG INTERNATION HOLDING priced a debut
€500m (US$613m) 0.817% three-year
senior unsecured credit-enhanced euro-
denominated bond at mid-swaps plus 77bp,
well below 95bp area initial guidance.