China

Asian debt bankers were forced to react to a tumultuous week of protests in Hong Kong, cutting short the bookbuilding window for new deals. But although bankers had to change tactics, the market largely endured the turmoil. Addison Gong reports.

China's Huali University Group launched bookbuilding on Wednesday for its Hong Kong IPO, targeting proceeds of up to HK$978m ($124.9m).

Gome Retail Holdings, a Chinese retailer of electronic appliances, has cancelled an exchange-plus-new-money transaction, after investor feedback on pricing pointed to a higher yield than it wanted to pay.

Volkswagen Finance (China) has returned to the Chinese auto loan ABS market after a two-year break. The company priced the senior tranche of its Rmb5.97bn ($851) deal at the lower end of guidance.

Investors looked beyond Nanyang Commercial Bank's Hong Kong home to its Chinese parent this week, allowing the borrower to close a $700m Basel III-compliant tier two subordinated deal, despite the protests happening in the city.

China Merchants Commercial Real Estate Investment Trust has kicked off a pre-deal investor roadshow for its Hong Kong SAR listing. It is set to break a six-year drought of Reit IPOs on the bourse.

Foreign banks hoping to break into China’s capital markets will have an open invitation at the end of next year, when final restrictions on their ownership of securities houses are removed. They will have some small successes with secondary trading but muscling in on primary capital markets will prove expensive ─ and risky.

Beijing Hyundai Auto Finance and SAIC-GMAC Automotive Finance priced their Chinese auto loan ABS transactions on Tuesday.

Pharmaron Beijing Co, a pharmaceutical research and development service platform, has launched its Hong Kong SAR flotation, aiming to raise up to HK$4.6bn ($587.8m), said a source familiar with the matter.

China Minmetal’s wholly-owned subsidiary, Onfem Finance, has returned to the market for a HK$4bn ($511m) refinancing loan at tighter levels than its last syndication.

Bank of Shanghai has launched its first sole mandated international loan into general syndication.

Road King Infrastructure returned to the dollar market for the fourth time this year on Monday. The borrower, which has favoured fixed-for-life perpetual bonds before, offered investors a slightly different perpetual deal this time that would see its coupon be reset but has no additional step-up.