Greater China

Hong Kong Stock Exchange and Hong Kong Science and Technology Parks Corp have launched a platform to help technology companies list and to bolster the city’s credentials as a tech investment hub.

The retail unit of China Petroleum & Chemical Corp (Sinopec) has held a beauty parade for its Hong Kong IPO, which is expected to raise around $10bn, according to a source familiar with the matter.

Export-Import Bank of China came to the market with a two-currency, fixed and floating rate transaction on Thursday, snapping up $918m-equivalent. Its outing followed downgrades on China’s sovereign rating and that of the issuer, but buy-side concerns were well contained.

In this week’s round-up, the Hong Kong Exchange’s USDCNH futures record their second best trading volume on Wednesday, renminbi deposits in Hong Kong increase by 4.1% in April, and China and Germany agree to co-operate on trade and finance.

Bank of China and Standard Chartered (China) completed the first interest rate swaps under China’s new repurchasing fixing rate (FDR) on May 31. Experts say the recently introduced rates will better reflect liquidity in the market and work in the favour of foreign banks.

Hong Kong’s FWD Group and Chinese leasing firm Far East Horizon are wooing investors for their respective perpetual deals, while Tunghsu Group Co is gauging interest for its debut international bond.

The Shenzhen Stock Exchange and Bombay Stock Exchange have signed a memorandum of understanding to promote capital markets co-operation, in a bid to give a fillip to small and medium enterprises and innovative companies.

Three banks will supply funds to back private equity firm Partners Group's acquisition of business process outsourcing firm SPi Global.

ESR Cayman sealed a $100m perpetual non-call three year on Wednesday, but the market remained a tad soft with investors being defensive when it came to risky names.

Investors threw their weight behind two IPOs in Asia this week, with WuXi Biologics set to price at the top of expectations in Hong Kong and Singapore’s HRnetGroup getting covered across the range.

Chinese automotive component supplier Xin Point Holdings started pre-marketing its Hong Kong IPO this week, and is eyeing up to $150m after getting a recent boost in confidence, according to a source close to the deal.

Hong Kong’s IPO market is awaiting jumbo deals from two Chinese state-owned enterprises this year, with Sinopec Marketing Co and China Tower seeking $10bn each. Both transactions are must-haves for ECM houses in the region, but getting a spot on the syndicate will be no easy feat. Jonathan Breen reports.