Northeast Asia

HSBC’s anticipated cuts to its global banking and markets (GBM) division may make sense. But they will not be easy to pull off smoothly.

Chinese power company SDIC Power Holdings is moving forward with its plan to list global depositary receipts on the London Stock Exchange to fund global expansion and its clean energy drive.

MSCI will complete its third and largest step of including China A-shares in its MSCI Emerging Markets Indexes and the MSCI China Index after the market closes on Tuesday. In preparation, foreign investors bought Rmb21.4bn ($3bn) of A-shares by 3pm through the two Stock Connect schemes — surpassing the record high of Rmb17.4bn achieved last year.

Chinese government-owned China State Construction International Holdings (CSCI) raised $500m from a subordinated perpetual bond, after investors put in orders that covered the transaction by more than 10 times at the peak.

Haitong International Securities is in talks with its relationship banks to raise a HK$10bn ($1.2bn) three-year loan to refinance an old club deal signed in 2017.

Zhongrong Xinda Group, based in China’s Shangdong province, has been downgraded to CCC- for rising bond refinancing risk. The company is one of a number of firms from the same province facing financial pressure.

Biotechnology company Venus Medtech (Hangzhou) has kicked off bookbuilding for its Hong Kong listing, eyeing a HK$13bn ($1.66bn) valuation.

Ant Financial, an affiliate of Chinese e-commerce giant Alibaba Group Holding, has launched a $3.5bn three year loan into syndication, after closing an amendment and extension of an old borrowing.

Citi has hired two senior real estate focused bankers from HSBC, adding them to its investment banking team in Hong Kong.

In this round-up, China lifted its 2018 GDP by 2.1% after the fourth census, the Chinese Ministry of Finance (MoF) will add a tap to its sovereign bonds sold in June and Hong Kong wrapped up its district council elections on Sunday.

Troubled Chinese commodities trader Tewoo Group has revealed its plan to exchange or purchase for cash $1.25bn of outstanding offshore bonds, just days after getting funds from Industrial and Commercial Bank of China (ICBC) to make an imminent coupon payment.

The People's Republic of China is planning to raise around $6bn from its return to the dollar bond market on Tuesday.