China bank deluge as BoC raises $3bn on 144A roadtrip

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By Virginia Furness
06 Nov 2014

Chinese banks issued $5.7bn of debt on Wednesday and Bank of China (BoC), never one to take a back seat, stole the show with a $3bn bullet Basel III-compliant tier two offering. The enormous demand suggested that investors just cannot get enough of Chinese bank capital, and by venturing into the 144A market the bank has set a strong benchmark to help the pricing of remaining supply, writes Virginia Furness.

While its recent AT1 transaction received overwhelming support of over $21.8bn in the Reg S market, BoC ventured into the 144A market this time, making it the first Basel III capital deal from a Chinese issuer to target US investors directly.

Not only did this manoeuvre enable ...

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