Northeast Asia

Chinese property companies bombarded the dollar market this week in an attempt to use their regulatory issuance quotas and seal deals before Chinese New Year. But with more borrowers expected to vie for investor attention, issuers will need to navigate the market carefully — and be ready to pay up. Morgan Davis reports.

China Water Affairs has returned to the international loan market after two years for a $200m fundraising.

Crédit Agricole has moved one of its sustainable banking specialists to Asia, hoping to capitalise on what it expects to be a growing market for green bonds.

Chinese city commercial bank Bank of Shanghai Co priced a rare bond backed by a standby letter of credit (SBLC) on Wednesday, seeing an over five times covered book but leaving a few basis points on the table.

Zhongyuan Yuzi Investment Holding Group Co sold the first offshore bond from a Chinese local government financing vehicle (LGFV) on Wednesday, pricing it 15bp inside analysts’ fair value estimates.

A slew of Chinese issuers are wooing dollar bond investors on Thursday, as Philippine company Petron Corp also competes for buy-side attention.

New Sports Group will double its share capital with two placements that aim to raise a combined HK$1bn ($128m), said the company.

China ZhengTong Auto Services Holdings opened books on Thursday morning for an up to HK$1.6bn ($211m) capital increase.

Dollar investors had plenty of Chinese property bonds to choose from this week, with four issuers competing for their attention on Tuesday. But with no end in sight to the pipeline, companies will have to navigate the market carefully, or cough up a premium for their bonds.

Goldman Sachs has added two senior executives to its investment banking division in Hong Kong who will focus on equity and equity-linked products.

Chinese issuers BOSC International, a local government financing vehicle from Henan, Lai Fung Holdings and Hilong Holding are in the market with new deals on a busy day for issuance.

Chinese technology giant Tencent Holdings is taking feedback from global investors for a 144A/Reg S transaction, and is looking to hit the market on Thursday morning.