China

A loan that had been in syndication since April from vehicle parts producer Hyva Global has been signed, with a mix of Asian and Western banks and one institutional investor joining. The deal started out at $295m but wound up at a much slimmer $195m after failing to gather steam amid concerns over the industry and the company’s weak sales in slowing China.

Oceanwide Holdings managed to reach the finish line for its $400m bond on Tuesday, the same day another high-yield issuer was forced to shelve its deal due to weak demand. Oceanwide’s triumph was thanks to the existence of outstanding notes that were trading well in secondary, as well as investors’ familiarity with the credit.

The growing Chinese securitization market took another step forward this week with the listing of the country’s first box office asset backed security on the Shenzhen Stock Exchange.

HNA Tourism Group Co has raised Rmb450m ($72m) from its first bond issue, which was driven by investor enquiry. The two year deal offers investors the highest coupon in CNH since the start of 2015.

China’s eHi Car Services has thrown in the towel on its first attempt to issue a maiden dollar bond due to weak demand. Bankers away from the deal and investors say that a combination of bad timing and bad pricing was to blame.

Recommendations on foreign exchange and interest rate reform in China were at the heart of this week's International Monetary Fund's interim report on its Special Drawing Rights (SDR) review, despite the market's more immediate focus on the report's suggestion that addition of the renminbi to the SDR could involve a nine-month preparation period after any decision later this year.

The inclusion of A-shares in institutional investors' portfolios is inevitable, although the process will be a gradual one for index providers, exchanges and money managers, FTSE Russell chief executive Mark Makepeace has told GlobalRMB.

The renminbi is unlikely to be added to the basket of currencies underlying the International Monetary Fund's Special Drawing Rights (SDR) facility until October 2016, even if the IMF Executive Board were to recommend inclusion when it announces the results of its review later this year, according to an IMF report on Tuesday night.

Export Development Canada (EDC) has priced its inaugural public bond in offshore renminbi and, having beaten its initial size target on the deal, could soon be back in the market.

Dongfeng Nissan Auto Finance is back in the Chinese auto loan ABS market this week after a hiatus of more than a year. But unlike its debut in 2014, the joint venture firm is now eyeing a much larger Rmb1.5bn ($242m) transaction that features an international rating from Moody’s.

Shanghai Electric Power Finance raised $500m from its debut five year Reg S bond, attracting a near five times covered book for its offering.

The Asia ex Japan bond market was crowded on August 4 with Oceanwide Holdings and eHi opening books for respective dollar bonds, and Export Development Canada (EDC) and HNA Tourism opting for offshore renminbi (CNH) offerings.