Greater China

China’s Shanghai Dasheng Agriculture Finance Technology Co is vying to raise as much as HK$975.0m ($125.7m) through a fresh placement of H-shares, but first needs the OK from its shareholders.

China Minsheng Banking Corp is looking to sell its inaugural Basel III bank capital offering, having picked banks to prepare a dollar-denominated additional tier one (AT1) bond.

Asia ex-Japan debt capital markets had a quiet opening on Monday, with a sole Chinese local government financing vehicle (LGFV) out for dollar funding. On the same day, another two LGFVs announced mandates.

Despite a slight delay to its usual schedule, the Chinese Ministry of Finance (MoF) announced it will be auctioning Rmb10bn ($1.44bn) to institutional investors and an additional Rmb4bn to retail and central bank segments in the second batch of offshore renminbi (CNH) bonds in Hong Kong on December 8.

The week begins with the long-awaited launch of the Shenzhen-Hong Kong Stock Connect, while in the foreign exchange (FX) markets the RMB volatility led to a new record in RMB futures traded on the Singapore Exchange in November.

Ronshine China Holdings priced its inaugural offshore bond against a volatile market backdrop and concern around its sector. The borrower still managed to raise $175m from the offering thanks to the presence of anchor orders.

In this round, up, cross-border RMB trade settlement falls further in Hong Kong, the RMB qualified foreign institutional investor (RQFII) scheme adds the first Thai asset manager, and the Hong Kong Exchange confirms the final list of stocks available through Shenzhen Connect from December 5. Plus, a recap of our weekly coverage.

Tewoo Group Co, also known as Tianjin Material & Equipment Group Corporation, is planning a return to the offshore bond market, having picked two firms to arrange roadshow next week.

Citic Resources Holdings signed a $310m three year self-arranged term loan on Thursday, with five banks joining the trade.

Lifestyle International, which operates the Sogo department stores, is believed to be talking to relationship banks for a loan related to its acquisition of a plot of land in Hong Kong. But the company’s downgrade by Fitch and the possibility of similar action by Moody’s could make things harder at the negotiating table, writes Shruti Chaturvedi.

Chinese companies have aggressively expanded into Europe this year, snapping up businesses and expanding their footprint. While loans are still the go-to funding tool and often get the bulk of the refinancing, as this week’s China National Chemical Corp transaction shows, the bridge-to bond route is becoming more popular. Morgan Davis and Addison Gong report.

China put the brakes on capital outflows again this week, taking aim at both large and small scale transactions amid a falling renminbi. Market participants are digesting the impact of the new curbs, as yet unconfirmed, but some thought that they could weed out dodgy deals and raise the quality of M&A financing. John Loh and Shruti Chaturvedi report.