China

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.

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.

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.

Lenovo Group took a cautious approach to its $650m bond issuance last Friday, opting for size instead of price and offering investors a hefty premium for its deal.

Credit Suisse has received approval for a 51% stake in its China securities joint venture (JV), joining a handful of foreign bank peers in taking control of their onshore units.

Akesobio has bagged HK$2.58bn ($332.9m) from its IPO after sealing the trade at the top of the marketed price range, according to a banker on the deal.

Chinese property firm Country Garden Holdings Company is wooing lenders to a $140m loan to support its investments in two start-ups.

Kingsoft Cloud Holdings has launched a virtual pre-deal investor education process for its $100m Nasdaq IPO, according to a source close to the deal.

The National Association of Financial Market Institutional Investors (Nafmii) has made fresh efforts to reform the bond issuance process in China. It is giving some issuers more flexibility around their fundraising plans and the way they can execute deals.