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◆ 12 year bond surprises bankers with strong demand ◆ Orders fall as pricing tightens ◆ Deal lands close to fair value
AT&T’s 19 year bond found buyers this week, but rate uncertainty and a flatter euro curve have dampened investor demand for duration
August forecast to be a strong month for corporate dollar supply
Stable backdrop, steady rates and strong demand give issuers reasons to move before the post-summer rush, bankers said
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KT Corporation made a solid landing with its first fixed rate dual tranche transaction on Tuesday night. The issuer printed $1bn and was able to price inside its existing curve despite a less than ideal market backdrop.
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Poly Real Estate Group is looking to launch a sequel to the debut dollar bond it printed last July. The potential offering would be the first dollar issue from a Chinese property company in a month.
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Dollar regular KT Corporation launched a dual tranche bond on Monday after getting a solid response from investors during its recent roadshow. Although it is the third time that the Korean telecommunications company is selling a dual tranche deal, the new issue will be its first to comprise fixed rate notes.
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Aluminum Corporation of China raised $400m on Thursday night with its second dollar perpetual bond after upsizing from a $200m-$300m target size as investors responded enthusiastically to the bond’s shorter call date.
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Technology powerhouse and Alibaba rival Tencent is on the road following the establishment of a $5bn GMTN programme on Thursday.
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China Unicom (Hong Kong) opened up a new sector to the dim sum market on Thursday, pricing its debut offshore renminbi deal and becoming the first Chinese telecom company to tap the asset class. The Rmb4bn ($643m) three year deal gathered a huge book of more than double the final size, with pricing coming late in the evening after guidance was tightened by 25bp.