COUNTRY REPORT CHINASleep System, known as King Koil China, a
maker and retailer of premium mattresses
and the exclusive licensee of US mattress
brand King Koil.
Advent already owns the Serta and
Simmons brands in the US via its
ownership of Atlanta-based mattress maker
Serta Simmons Bedding.
› CMB FL EYES DEBUT SAMURAI LOAN
CMB FINANCIAL LEASING has launched an up to
¥20bn (US$178m) three-year debut Samurai
loan, becoming the third Chinese borrower
to tap the Japanese market in recent months.
MUFG launched the deal earlier this
month and responses are due in mid-
November.
The facility offers an all-in pricing of
about 130bp.
The borrower is CMB International
Leasing Management, a fully owned Hong
Kong-incorporated unit of CMB Financial
Leasing. The parent will provide a keepwell
agreement and a liquidity support deed as
credit enhancement for the deal.
CMB Financial Leasing is a wholly owned
unit and the sole leasing business arm of
China Merchants Bank.
Last month, Bank of Communications
Financial Leasing launched a US$200m-
equivalent yen-denominated borrowing,
while Huawei Technologies is also seeking
a Samurai loan of a similar size.
Chinese names are seen as challenging
in Japan as most regional banks have no
credit lines or limited lines allocated to
the country due to a difficult historical
relationship, the sources said.
In July, CMB International Leasing
Management launched a US$400m three-
year term loan into syndication after
Industrial & Commercial Bank of China
Singapore branch and Agricultural Bank of
China Hong Kong branch pre-funded the
deal on July 9. The facility offered a top-
level all-in pricing of 122bp via an interest
margin of 95bp over Libor.
CMB International Leasing Management
is rated BBB+/BBB (S&P/Fitch), while parent
CMB Financial Leasing is rated A3/BBB+/
BBB.› CMBC INTERNATIONAL SOUNDS MARKETCMBC INTERNATIONAL HOLDINGS, a wholly owned
subsidiary of China Minsheng Banking
Corp, is sounding the market for a three-
year loan of around US$500m.
The company hopes to sign the new-
money deal, which could be a club or a
syndicated facility, by the end of this year.It indirectly holds about 60% of Hong
Kong-listed CMBC Capital Holdings, which
is in the market for a term loan of up to
HK$1.4bn-equivalent (US$179m). E Sun
Commercial Bank is the sole mandated lead
arranger and bookrunner of that financing,
which pays interest margins of 155bp over
Hibor and 150bp over Libor. The top-level
all-in pricing is 179.3bp for the HK dollar
portion and 174.3bp for the US dollar
portion.› SHUI ON LAND LIFTS LOAN TO US$480MShui On Land has increased a three-year
term loan to US$480m from an initial
launch size of US$250m.
Sole mandated lead arranger,
bookrunner and underwriter Standard
Chartered (Hong Kong) has brought in 10
banks, including Bangkok Bank Hong Kong
branch, which joined as equal status
arranger.
StanChart pre-funded the loan at the
initial size before launching it into general
syndication in June. It ended up with a
US$100m final hold.
The loan offered a top-level all-in of
450bp based on an interest margin of
365bp over Libor and an average life of
2.625 years.
The borrower is SHUI ON DEVELOPMENT
(HOLDING), while Shui On Land is the
guarantor.
Funds are for refinancing, to back
acquisitions, for developing property
projects and for general corporate purposes.
For full allocations, see http://www.ifrasia.com.› GREENLAND JV SEEKS RMB1.15BN LOANA joint venture of property developer
Greenland Holding Group is seeking a
Rmb1.15bn (US$166m) four-year term loan
to back the construction of a real estate
project.
Nanyang Commercial Bank (China) is the sole
mandated lead arranger and bookrunner of
the facility, which offers an interest margin
of 130% of the PBoC rate.
MLAs committing Rmb200m or above
earn an upfront fee of 60bp per annum for
a top-level all-in pricing of above 140% of
the PBoC rate, lead arrangers coming in
with Rmb100m–Rmb199m receive 40bp
per annum in fees, while arrangers with
commitments of Rmb50m–Rmb99m get an
upfront fee of 30bp per annum.
Syndication is expected to close before
the end of this year, while the drawdown is
scheduled for early next year.
Funds will be used to build a residential
real estate project which will also have
some retail and serviced apartment space
in a prime location of Wuxi city in China’sCountry Garden prunes offer
Loans Borrower seeks shorter tenors of two and three years after bond successHong Kong-listed property developer COUNTRY
GARDEN HOLDINGS has launched a US$1bn-
equivalent term loan.
The size of the latest borrowing has been
scaled back from the original plan of US$2bn
after Country Garden, rated Ba2/BB+/BBB−,
raised US$975m via three and five-year senior
notes in September.
The borrower has also shortened the
maturity of the loan to two and three years
from its original proposal of four years.
ICBC (Asia) and HSBC are coordinating the
new deal. The two banks, together with China
Merchants Bank, China Minsheng Banking
Corp, Hang Seng Bank, Industrial Bank and JP
Morgan, are likely to be the mandated lead
arrangers and bookrunners.
The facility offers interest margins of 265bp
and 295bp over Libor/Hibor for the two and
three-year tranches. Commitments can be in
either US or HK dollars or both.
Banks have been invited to join as MLABs
with commitments of US$100m or more
for a top-level all-in pricing of 350bp and
380bp for the two and three-year tranches,respectively, via upfront fees of 165.75bp and
229.5bp.
MLAs with tickets of US$75m–$99m earn
all-in pricing of 340bp and 370bp via fees
of 146bp and 202.5bp, lead arrangers with
commitments of US$50m–$74m receive
all-in pricing of 335bp and 365bp via upfront
fees of 136.5bp and 189bp, while arrangers
with US$30m–$49m get 330bp and 360bp
in all-in pricing via fees of 126.75bp and
175.5bp.
The two and three-year tranches have
average lives of 1.95 years and 2.7 years,
respectively. Repayments on the former
tranche will take place in two semi-annual
instalments of 10% and 90% after a 1.5-year
grace period. The latter portion will be repaid
via four semi-annual instalments after a 1.5-
year grace period: 10% (18th, 24th and 30th
months) and 70% (36th month).
Commitments are due by November 21.
Some of the company’s subsidiaries
are providing guarantees. Funds are for
refinancing and general corporate purposes.
APPLE LAM, YAN JIANG