Asia Pacific

Shenzhen Zhaoheng Hydropower Group has obtained a maturity extension for a $128m loan sealed in 2017, after difficult market conditions put pressure on its refinancing abilities.

Some Asian sovereigns are at risk of being pushed out of investment grade territory as the Covid-19 pandemic takes a toll on their economies. India and Indonesia are of particular concern, with fears high that they are close to becoming fallen angels.

India’s financial regulator has made a one-time relaxation of rules governing IPOs and rights issues in response to the coronavirus outbreak, which continues to keep the country’s population at home.

Hansoh Pharmaceutical Group, a China-based drug maker, has pocketed HK$3.49bn ($450m) from a larger-than-planned issue of primary shares.

Chinese local governments will receive another Rmb1tr ($141.4bn) in quota to issue special purpose bonds, as the authorities look to boost infrastructure spending and support economic growth.

The Export-Import Bank of Korea jumped on the floating rate note bandwagon on Monday, raising $700m from the market. It also added a euro tranche with a green label to its transaction.

Recent dollar bonds in Asia offer timely insight into the ingredients needed to seal deals in the Covid-19 environment.

Pressure on Asia’s loan market has eased recently as funding costs come under control and the Covid-19 spread in China slows down. But bankers hoping for a quick rebound in deal flow should keep their expectations in check.

Singapore Airlines has announced the record date for its planned S$8.8bn ($6.17bn) concurrent rights issue and mandatory convertible bonds sale.

Sino Biopharmaceutical’s shares tumbled about 8% on Tuesday after its chief executive officer, Tse Ping, sold a portion of his stake in the company for HK$2.27bn ($292.9m).

CLSA has hired Charles Lin, the former Asia chief executive of Vanguard Group, as its new vice chairman effective immediately, the bank announced on Monday.

In this round-up, the People’s Bank of China cuts the one year and five year loan prime rates (LPRs), Moody’s lowers its outlook for Chinese property developers to negative and Wuhan’s new death toll from Covid-19 is 50% higher than originally reported.