Guotai Junan Securities Co

Yunnan Metropolitan Construction Investment Group Co is looking to join the slew of Chinese local government financing vehicles (LGFV) tapping the offshore bond market.

Wuxi Construction and Development Investment Co kicked off bookbuilding on Monday for its first appearance in the offshore bond market. It is expected to be followed shortly by Jiangsu Hanrui Investment Holdings, which has mandated banks for its maiden dollar trade.

Zhongrong International Trust managed to raise $500m this week by compensating investors for its weak fundamentals with a juicy premium over its outstanding bond. But what also helped the deal was a lack of high yield supply from China, reckon bankers.

Asia’s bond markets have remained resilient despite a Federal Open Market Committee meeting this week and rising concerns about the UK referendum on European Union membership. With deal flow building up for next week, bankers said Asian issuers stand to benefit from volatility in Europe, writes Narae Kim.

Zhongrong International Trust has mandated banks for a Reg S dollar bond that could hit the market as early as this month.

A trio of issuers — China Huiyuan Juice Group, Hong Kong Airlines and Global Logistic Properties (GLP) — are preparing offerings in China’s Panda bond exchange market.

Fantasia Holdings Group sold the first high yield offshore renminbi bond since last summer, pricing a Rmb600m ($92.4m) three year on Tuesday. Although market participants welcomed new activity in the moribund dim sum market, the outlook for more issuance is bleak.

Fantasia Holdings Group launched a three year dim sum this morning in a deal that reopens the high yield offshore RMB bond market for Chinese issuers for the first time since August.

A pair of southern Chinese companies are hoping to list in Hong Kong, having filed draft prospectuses with the city’s stock exchange on Wednesday.

Bond investors had little concern on buying Yunnan Provincial Energy Investment Group’s tightly priced debut bond this week, despite the structure of the notes being weaker than the one sold by parent Yunnan Provincial Investment Holdings Group (YIG) last month.

Yunnan Provincial Energy Investment Group is on track for its first dollar bond while the Export-Import Bank of China (Chexim) has opted for a dual-currency, triple-tranche offering for its return.

Yunnan Provincial Energy Investment Group is looking to issue its first dollar bond and has hired banks to set up investor meetings.