The books were well oversubscribed with
the top five investors taking more than 70%
of the allocation.
There is a 30-day lock-up on the vendor.
› LAIX FILES FOR US IPO
LAIX, which runs English teaching app
Liulishuo, has filed for an NYSE IPO of
US$100m, according to a public filing.
Founded in 2013, LAIX teaches Chinese
students English via mobile apps, primarily
its flagship AI-powered “English Liulishuo”
app. As of June 30 2018, the company had
83.8 million cumulative registered users in
China and globally.
The company had a net loss of Rmb182m
in the first half of 2018, up 171% from 2017
year-on-year. Its net revenue was Rmb232m
in the first half of this year, up 480% from
the same period of 2017.
Goldman Sachs and Morgan Stanley are the
bookrunners.
LAIX’s chief executive officer, Yi Wang,
currently owns 27.9% of the company,
while IDG Capital and Trustbridge Partners
each own 13.4%.
The company plans to use the funds
raised for research and development,
selling and marketing, general corporate
purposes and working capital including
strategic investments and acquisitions.HONG KONG
SYNDICATED LOANS
› CNCB INCREASES MAIDEN LOANCNCB (HONG KONG) INVESTMENT has increased its
debut three-year bullet loan to US$800m
following an overwhelming response from
20 lenders in general syndication, sources
said.
Mandated lead arrangers and
bookrunners China Construction Bank (Asia),
HSBC, Industrial & Commercial Bank of China
(Asia) and Mizuho Bank launched the deal at
an initial size of US$500m in mid-July.
The loan offered a top level all-in pricing
of 180bp based on an interest margin of
165bp over Libor and a participation fee of
45bp.
Documentation is in progress with the
signing expected shortly.
China Citic Bank holds a 99.05% stake
in the company, which provides money
lending and investment business services.
For full allocations, see http://www.ifrasia.com.› TEXHONG RAISES LOAN TO HK$1.6BNTEXHONG TEXTILE GROUP has increased its three-
year loan to HK$1.6bn (US$204m) from the
HK$1bn target.Sumitomo Mitsui Banking Corp was the
mandated lead arranger and bookrunner
of the transaction, which has an interest
margin of 136bp over Libor and an average
life of 2.7 years.
Lenders were offered a top-level all-in
pricing of 165bp via a participation fee of
78.3bp.
Signing is slated for mid-September.
Funds are for capital expenditure and
general corporate purposes.
The borrower obtained a HK$600m
three-year refinancing in April last year.
Chiyu Banking Corp was the MLAB of that
financing, which offered a top-level all-in
pricing of 180bp over Hibor via a margin of
170bp over Hibor and a 27bp upfront fee.
For full allocations, see http://www.ifrasia.com.› LEO PAPER INKS HK$350M GREEN LOANPrinting company LEO PAPER GROUP (HONG KONG)
has raised a HK$350m Green loan with
seven banks.
Bank of East Asia, BNP Paribas, Citibank,
Hang Seng Bank, HSBC, Mizuho Bank and MUFG
were the lenders to the deal, which will be
signed on September 3.
Funds will be used to invest in
environmental protection projects in
China from 2018 to 2020, covering
areas such as energy conservation and
emission reduction, waste and wastewater
management.
Leo Paper has received a Green Finance
Certification from the Hong Kong Quality
Assurance Agency, becoming the first Hong
Kong private company and manufacturer to
receive it.
In June last year, the borrower raised a
HK$530m five-year club deal via unit Leo
Paper Group Finance. Bank of China (Hong
Kong), BNP Paribas Hong Kong, Hang Seng,
MUFG, Mizuho and Standard Chartered
were the lenders.Top bookrunners of Hong Kong dollar bonds,
inc certificates of deposit, commercial paper
1/1/18 – 31/8/18
Amount
Name Issues HK$(m) %
1 HSBC 112 52,756.6 41.5
2 Standard Chartered 48 22,570.5 17.8
3 BoCom 11 22,325.0 17.6
4 Credit Agricole 14 4,975.0 3.9
5 Mizuho 9 4,801.4 3.8
6 Societe Generale 5 2,284.9 1.8
7 BNP Paribas 10 2,101.0 1.7
8 CBA 4 1,950.0 1.5
9 Citigroup 6 1,503.0 1.2
10 UBS 2 1,325.0 1.0
Total 234 127,048.4
*Market volume
Proportional credit
Source: Thomson Reuters SDC Code: AS5a
Top bookrunners of Hong Kong dollar bonds,
ex-certificates of deposit, commercial paper
1/1/18 – 31/8/18
Amount
Name Issues HK$(m) %
1 HSBC 43 33,792.0 49.5
2 Standard Chartered 25 11,532.5 16.9
3 Credit Agricole 13 4,475.0 6.6
4 BoCom 2 2,125.0 3.1
5 BNP Paribas 10 2,101.0 3.1
6 Societe Generale 4 1,784.9 2.6
7 Mizuho 3 1,749.4 2.6
8 CBA 2 1,350.0 2.0
9 RBS 2 1,089.0 1.6
10 Goldman Sachs 1 900.0 1.3
Total 107 68,335.8
*Market volume
Proportional credit
Source: Thomson Reuters SDC Code: AS6
Hong Kong global equity and equity-related
1/1/18 – 31/8/18
Amount
Name Issues US$(m) %
1 UBS 4 1,061.3 14.7
2 Goldman Sachs 6 930.9 12.9
3 Guotai Junan Sec 3 472.2 6.6
4 BNP Paribas 2 429.8 6.0
5 China Merchants Sec 3 425.8 5.9
6 Citic Sec 1 333.3 4.6
7 CICC 1 266.7 3.7
8 Earlybirdcapital Inc 1 250.0 3.5
9 Kingston Sec 14 240.9 3.3
10 Haitong Sec 3 224.9 3.1
Total 163 7,209.2Source: Thomson ReutersTop bookrunners of Hong Kong syndicated loans
1/1/18 – 31/8/18
Amount
Name Deals US$(m) %
1 HSBC 22 4,740.2 12.1
2 ICBC 10 3,287.1 8.4
3 CCB 13 3,134.7 8.0
4 Bank of China 13 2,535.2 6.5
5 Standard Chartered 13 2,458.2 6.3
6 MUFG 9 2,084.4 5.3
7 CMB 6 1,540.9 4.0
8 BNP Paribas 5 1,405.8 3.6
9 ANZ 7 1,196.7 3.1
10 Mizuho 8 1,040.8 2.7
Total 70 39,051.5
* Based on market of syndication and market total
Proportional credit
Source: Thomson Reuters SDC Code: S9b