The issuer faced competition from a
S$400m eight-year 3.8% offering from
China Huarong Asset Management, which
rival banks said could have affected
demand.
CNQC compiled a book of over S$150m,
involving 23 accounts. Private banks took
51% of the bonds, while banks and fund
managers got the remaining 49%.
CNQC International Holdings is the
issuer of the notes, with subsidiaries
Rich Prospect Holdings, One Million
International, Wang Bao Development,
New Chic International, CNQC (South
Pacific) Holding and CNQC Engineering &
Construction as guarantors.
Settlement is on November 7 and the
notes will be drawn off a newly established
US$500m MTN and perpetual-securities
programme.
DBS and BOC International were joint
global coordinators, as well as joint
bookrunners and lead managers with SPD
Bank Singapore.
The property construction company has
operations in Singapore, where it is active
in providing its services to residential
property developers.
SYNDICATED LOANS
› HUARONG UNITS DIFFER IN APPROACH
Two China Huarong Asset Management
subsidiaries are approaching the loan
markets differently, with one revising pricing
on its borrowing and the other cutting the
size of one of its facilities. (See News.)
HUARONG RONGDE (HONG KONG) INVESTMENT
MANAGEMENT has slashed the interest margin
on its US$100m one-year revolving credit,
while HUARONG INTERNATIONAL FINANCIAL
HOLDINGS (HIFH) has cut its 364-day facility to
HK$2.72bn-equivalent (US$349m) from an
initial target of HK$3bn-equivalent.
Far Eastern International Bank and KGI Bank
were the MLABs on HIFH’s borrowing, split
into a HK$1.36bn term loan tranche A and
a HK$1.36bn revolving credit tranche B that
can be drawn in either Hong Kong or US
dollars. The facility offered a top-level all-in
of 235bp, based on a margin of 215bp over
Hibor or Libor. Funds are for refinancing
and working capital purposes. Signing took
place on October 23, and drawdown was on
October 27.
Separately, HIFH is finalising a HK$2bn
one-year club loan with China Citic Bank
International as coordinator. The club
offers a top-level all-in of 255bp, based on a
margin of 220bp over Hibor.
The two loans for HIFH and the revolver
for Huarong Rongde carry letters of comfort
from the borrowers’ onshore parent, China
Huarong Asset Management.
For full allocations, see http://www.ifrasia.com.EQUITY CAPITAL MARKETS
› ASM PAC BLOCK RAISES HK$4.11BNDutch semiconductor-equipment maker
ASM International, the largest shareholder
of ASM PACIFIC TECHNOLOGY, has raised
HK$4.11bn (US$527m) through the sale of
part of its stake.
ASMI said it sold 37m shares, or 9% of
ASM Pacific, at HK$111 each.
The shares were marketed at an
indicative price range of HK$109–$112
through sole bookrunner Morgan Stanley.
The final price represents a discount of
5.5% to the pre-deal spot.
Books were well covered with over 120
accounts participating. Allocation was
concentrated.
There is a 180-day lock-up on the seller.› RAZER READIES HONG KONG IPORAZER has started bookbuilding for its Hong
Kong IPO of up to HK$4.25bn, with Credit
Suisse and UBS as joint sponsors.
The maker of gaming hardware andsoftware is selling about 1.063bn primary
shares, or 12% of the enlarged company
capital, at an indicative price range of
HK$2.93–$4.00 each.
This equates to a pre-money valuation
of US$2.9bn–$4bn and a post–money
valuation of US$3.3bn–$4.5bn.
The float has secured US$153m from five
cornerstone investors - Singapore sovereign
wealth fund GIC (US$20m), Davinia
Investment (US$33m), Chen Huaidan
(US$50m), Loi Keong Kuong (US$30m) and
Kingkey (US$20m).
Books will close on November 6 and
pricing is slated for the same day.
Founded in 2005, Razer has backing
from Intel Capital, IDG-Accel and Heliconia
Capital Management, a wholly owned
subsidiary of Singapore investment
company Temasek.
According to a regulatory filing, Hong
Kong tycoon Li Ka-shing also holds a
1.29% stake in Razer via wholly owned
investment company Redmount Ventures.
Razer posted a 2016 net loss of
US$59.6m, wider than 2015’s US$20.4m.
The San Francisco-headquartered company
plans to use the proceeds to expand its
business, finance acquisitions and meet
working capital needs.› BESTWAY GLOBAL LAUNCHES IPOBESTWAY GLOBAL has started bookbuilding for
a Hong Kong IPO of up to HK$1.54bn, with
Morgan Stanley as the sole sponsor.
The company is selling 265m primary
shares, or 25% of the enlarged share capital,
at an indicative price range of HK$4.38–
$5.80 each. The deal will price on November- Trading will start on November 16.
Bestway, a maker of water-leisure
products, posted a net profit of US$43m in
2016, up 183% year on year, according to a
regulatory filing.
The company will use the funds raised
for business expansion, repayment of loans
and general working capital.
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