Greater China

Asia’s bond markets are preparing for record China offshore issuance this year, driven by the ambitious funding plans of city commercial banks. Bankers expect at least $20bn of bank capital transactions to hit screens with pricing likely to be tight thanks to support from onshore investors.

Beijing this week picked five commercial banks as the second batch of a pilot programme that allows the issuance of asset-backed securities using their non-performing loans (NPLs).

Three Chinese companies have been hit by difficulties that resulted in them breaching covenants on international syndicated loans. Despite the cluster of problems, bankers says this does not point to more systemic failure in China Inc. John Loh and Shruti Chaturvedi report.

China Everbright Greentech opened books for its HK$3.3bn ($424.5m) IPO this week, while BoCom International Holdings began premarketing a potential $300m Hong Kong IPO, and China’s Zhongyuan Bank Co also laid out plans to list in the city.

China Rapid Finance and Bright Scholar Education Holdings are venturing stateside to raise more than $300m from their IPOs.

CMB Financial Leasing launched a $350m bullet into general syndication last week, even as Minsheng Financial Leasing wrapped up an increased fundraising of $335m.

ANZ has hired Nathan Herman as an associate director in its loan syndications team in Hong Kong.

Industrial and Commercial Bank of China’s Singapore branch sold a dual-tranche floating rate deal on Wednesday, raising $2bn and hitting its pricing goals.

Halcyon Agri Corporation raised $150m on Wednesday from its maiden international bond. The deal was launched in a softer market amid increased volatility sparked by geopolitical events, but the issuer benefitted from its relationship with China’s state-owned Sinochem Group.

China’s National Development and Reform Commission (NDRC) has approved a second batch of 11 firms as part of a pilot programme which allows them to choose a funding window in the international debt market without needing the regulator’s blessing.

China’s Times Property Holdings sealed a quick $225m deal on Wednesday to reach the upper limit on its offshore issuance cap for the year.

I can’t deny that investment banking is a young man’s game. The long hours, late nights and hard partying will knock out anyone not in the prime of their lives. But even the young bucks can struggle when tackling some banking challenges.