Asia Pacific

China Minmetals Corporation returned to the offshore renminbi market with a three year bond on Monday. Despite coming in the shadow of a record month for Chinese CNH supply, the unrated transaction was well bid and priced through the issuer’s existing curve.

Four banks are on board the offshore Rmb800m ($130m) one year loan for the e-commerce arm of China Minsheng Bank – Minsheng E-commerce.

AVIC priced the third ever standby letter of credit backed dim sum bond on Friday. Competing supply last week meant that the borrower had to pay up over other Agricultural Bank of China-backed bonds.

China Minmetals Corporation has opened guidance on a new dim sum bond and joins China Metallurgical and Sinopec in the market in what looks a bumper day for Chinese SOE issuance.

Dim sum bond issuance so far this year has now swept past the volume for the whole of 2013. That in itself is striking, particularly at a time of renminbi weakness. But while the surge in deals is the most obvious progress, there are plenty of more fundamental developments taking place.

In this week's round-up, the RMB rises further in StanChart's RMB Globalisation Index, the Shanghai Gold Exchange plans to allow CNH gold trading in Shanghai's Free Trade Zone (FTZ), FTSE announces the launch of an R/QFII Index Series, and RBS unveils two-way sweeping in the FTZ for French corporate Sonepar.

China is planning to introduce what it calls project revenue notes (PRNs) to its onshore market in order to reduce the potential risks of mounting debt at local governments and in the domestic banking system, two sources have told GlobalRMB. The People’s Bank of China (PBoC) is pushing the new funding instrument, while the National Association of Financial Market Institutional Investors (Nafmii) will supervise the programme.

AVIC has announced guidance on a three year dim sum bond, after wrapping up investor meetings on Thursday.

The Chinese arm of Ford Automotive Finance is preparing its debut onshore syndication, pressing the pedal on a Rmb2bn ($324m) three year loan that comes hot on the heels of the company’s first auto loan ABS deal.

Chinese state owned logistics company Sinotrans priced its second offshore renminbi bond on Tuesday with a Rmb1bn ($162m) three year issue. However, oversupply from China in the dim sum market and investor unfamiliarity meant the deal was met with a fairly quiet reception.

AVIC International Leasing Co has appointed DBS as sole global co-ordinator to arrange a series of fixed income investor meetings. Agricultural Bank of China Singapore Branch joins as a bookrunner and lead manager.

Chinese securitization is poised to take another step forward with the first internationally-rated auto ABS from the country, a Rmb800m ($128m) deal from seasoned issuer Volkswagen.