Greater China

There are just five more weeks until the UK is due to leave the European Union. Is now the time for this old China hand to make his return?

Chinese high yield borrowers have come to the market in droves this week. That continued on Wednesday, when three deals raised a total of $1.275bn.

China Citic Bank International has priced a $500m Basel III-compliant tier two deal inside fair value, as the lender looks to switch out of a legacy tier two that not only has a high interest rate but has also lost most of its capital recognition over time.

The People’s Bank of China (PBoC) made good on its promise to swap perpetual bonds for government bills on Wednesday, kicking off a Rmb1.5bn ($222m) swap that forced the central bank to start issuing bills again after a long hiatus.

China property names continued their bombardment of the dollar market on Tuesday, as four more bond issuers raised a combined total of $2bn.

Morgan Stanley has named Magnus Andersson as the co-head of ECM for Asia Pacific. His predecessor, Mille Cheng, has become vice chairman of Asia Pacific global capital markets.

The UK banking sector has more links to China than the equivalent sectors in the US, Japan, the euro area and South Korea do combined. Analysts are warning that China's growth is slowing, and HSBC’s poor results have been linked to this. But those espousing that view are overstating the connection.

Chinese regulators have given the country’s biggest banks initial permission to set up wealth management arms, addressing a $3.2tr industry that inspires fear of shadow asset growth. But bankers admit they are still confused by exactly what the next steps will be.

Ronshine China Holdings priced the new money portion of its exchange offer after building an order book that covered the deal almost 16 times over. The liability management exercise helped the issuer close the gap between its curve and that of similarly-rated Chinese property developer peers.

China Forestry Group has returned to the offshore market, raising its second international loan through a Singaporean subsidiary.

Yuzhou Properties Co sold its third dollar bond deal of the year this week, bringing its total issuance for 2019 to $1.5bn.

China’s Jinxin Fertility Group is planning to float on the Hong Kong Stock Exchange, according to a draft prospectus submitted to the bourse.