Greater China

A handful of outbound M&A deals announced in the second half of 2018 have given leveraged and acquisition finance bankers hopes for a rebound in action this year. But with many roadblocks ahead, being "cautiously optimistic" will be critical.

Chengdu Expressway Co’s HK$880m ($112.3m) IPO has marked the start of a quiet week for the Hong Kong equity capital markets.

Standard Chartered has hired two loans syndicate bankers, in Hong Kong and Shanghai respectively, according to a source close to the move.

Chinese state-owned energy company Beijing Enterprises Water Group (BEWG) is preparing its sixth Panda bond, and the first deal in the asset class for 2019, offering a Rmb1bn seven year and a Rmb1bn 10 year tranche.

Hong Kong Airlines is set to provide the year’s first test case of the strength of the Asian debt market as investors lose faith in the carrier’s ability to repay a $550m bond due in just over two weeks.

In this round-up, People’s Bank of China (PBoC) cut the reserve requirement ratio (RRR) by 100bp, Shanghai-London Stock Connect likely postponed to late January, and Li Keqiang encourages big commercial banks to support the private sector.

Panda bonds could take a back seat in the first quarter of 2019 due to the expected increase in issuance of local government bonds and as banks focus on their own funding needs, according to onshore DCM bankers.

A senior loans syndicate banker at Bank of China (Hong Kong) has left the firm, according to a source close to the situation.

Wayne Green, head of loan syndicate and sales for Asia Pacific at BNP Paribas, has relocated to Sydney for another position, according to sources close to the situation.

Electricité de France, the Paris-based electricity company, raised a Rmb122m ($17.8m) one year bilateral loan through Crédit Agricole CIB (China) on December 20.

China Aoyuan Group stayed a step ahead of its property peers by raising a comfortable $275m from a tap of its 2021 notes on Thursday, one of two dollar bonds to be priced in Asia so far in the new year.

Guangzhou R&F Properties Co started the new year by tackling its upcoming bond maturity head on, selling a $500m note on Thursday to refinance a February deal.