Greater China

China Fortune Land Development’s domestic and offshore bonds swung this week after the property company admitted to onshore defaults worth Rmb5.255bn ($813m), adding to ongoing concerns about its liquidity condition and access to funding. Addison Gong reports.

A handful of Chinese companies managed to hit the bond market on Wednesday for new deals, ahead of not just the upcoming Chinese New Year break but also the jumbo outing launched by Alibaba Group Holding on Thursday.

China Industrial Securities Co priced its $300m bond at a tighter level than expected due to support from its hefty syndicate team, defying concerns even among some of the banks on the transaction whether the issuer would hit its funding target.

Chinese biopharmaceutical duo WuXi Biologics (Cayman) and InnoCare Pharma raised a combined HK$16.2bn ($2.1bn) on Tuesday from selling new stock.

Chinese financial leasing company Far East Horizon returned to the offshore renminbi (CNH) bond market on Tuesday for its largest deal in the currency.

Investors were eager to buy into investment grade rated property developer China Overseas Grand Oceans Group's (Cogo) latest dollar bond, pumping in $4.6bn of orders for the $512m trade.

The Hong Kong Mortgage Corp (HKMC) made a rare public appearance in the debt market this week with a dual-currency transaction worth $1.29bn-equivalent. Featuring a Hong Kong dollar portion and an offshore renminbi tranche, the deal helped the issuer get ‘competitive’ pricing levels, said bankers.

GCL New Energy Holdings, a Chinese solar power company, has failed to repay a $500m bond that was due on January 30.

SAIC-GMAC Automotive Finance Co has wasted no time in making its second appearance in China’s onshore auto loan ABS market this year, selling a Rmb10bn ($1.55bn) Rongteng 2021-2 transaction on Monday.

Mainland-based Jinxin Fertility Group raised HK$1.27bn ($163.5m) in fresh equity on Monday after issuing a chunk of new shares.

Property company China Fortune Land Development has missed payments on Rmb5.255bn ($813m) of onshore debt, adding to concerns about its liquidity condition and access to funding.

The share prices of key subsidiaries of HNA Group took a beating on Monday after the beleaguered Chinese conglomerate announced a bankruptcy restructuring. One of its companies, Hainan Airlines Holding Co, also forecast $10bn of losses for 2020.