Asia Pacific

In this round-up, MSCI announced that its review of A-shares is underway, eight new institutional investors received RQFII licenses in 2016, Hong Kong saw further falls in RMB deposits and cross-border RMB trade settlement, and Bank of China saw two RMB internationalisation indices drop recently. Plus, a recap of our top stories this week.

Guosen Securities (Overseas) Company Limited, which said on March 31 that no event of default had occurred on its CNH bonds, issued another notice to bondholders on the same day via trustee Bank of New York Mellon. The new notice, obtained by GlobalRMB, said that Guosen’s auditor RSM Hong Kong is yet to provide confirmation about certain write-offs in the guarantor’s financial accounts, which would determine whether an event of default occurred or not.

A member of Macquarie’s equity syndication team in Hong Kong is understood to have transferred to another role within the bank.

China is mulling the possibilities of issuing an SDR-denominated bond, the People’s Bank of China governor Zhou Xiaochuan said on Thursday.

Thai company PTTEP Offshore Investment has signed up four lenders for a $500m club loan.

Chongqing Red Dragonfly Oil has raised a $126m onshore loan with a group of seven lenders joining in syndication.

Chinese condiment manufacturer Yihai International Holding is looking to list in Hong Kong, having filed a draft prospectus with the city’s exchange on Thursday.

Indonesian television broadcaster MNC Sky Vision is back in the loan market for a $275m borrowing with two lenders at the top. The company was recently slammed by a credit rating downgrade because of rising leverage and weakening performance.

Standard & Poor’s has cut its credit ratings on Standard Chartered group entities by one notch, becoming the last of the three international ratings agencies to do so over the past few months.

ChemChina gave 11 banks allocations in the $20bn tranche of its Syngenta acquisition loan on Thursday, bringing the total number of banks in the syndicate to 16.

The vitality of the covered bond market was in no doubt over the first quarter of 2016 as volumes reached their highest level in five years.

Investments into emerging market equity exchange traded funds have slumped this year, but this has left call structures and outperformance options looking cheap if Chinese capital outflows ease.