Northeast Asia

Hong Kong Airlines, whose biggest shareholder is China’s HNA Group, was marketing a senior perpetual non call 3.5 year bond on Friday, driven by anchor interest.

The margin compression that dominated the Asian syndicated loan market in 2016 was expected to spill into this year. But Chinese capital controls have proved to be a game changer, with Mainland companies compelled to turn to overseas funding, said market participants. Shruti Chaturvedi reports.

China Huarong Asset Management Co offer investors a rare combination of a senior three year and a senior perpetual bond in its first outing of the year, snapping up $2.6bn across two tranches.

TPG Stallion Holdings raised HK$542.7m ($70.0m) after offloading a chunk of its stock in Chinese firm Li Ning Co this week, while Malaysia’s Federal Land Development Authority (FELDA) sold a block of Maybank shares for MR281.7m ($63.3m).

The Hong Kong Stock Exchange (HKEX) has proposed creating a new board in a bid to remain a leading global IPO market.

After some shocking first day flops in recent months, Hong Kong IPOs have become a nerve racking investment, and investors are responding by changing their approach to the city’s primary equity market. Investors have lost trust in their ability to assess an opportunity and are looking for reassurance from their peers, writes Jonathan Breen.

Repeat Chinese issuer Yuzhou Properties Company and debut credits Reward Science and Technology Industry Group Co and United Photovoltaics pushed into the busy Wednesday market, looking to close dollar deals before the holiday.

The Export-Import Bank of Korea (Kexim) raised $1.5bn Wednesday across three and five year tranches, less than a week after the Republic of Korea reopened the Asian sovereign market with a $1bn 10 year deal.

Hong Kong Exchange (HKEX) chief executive Charles Li laid out the exchange’s plans for 2017, with a strong focus on expanding its RMB offering through new products such as Chinese treasury bond futures and connectivity with China’s bond market.

The number of foreign entities with direct access to the China Interbank Bond Market (CIBM) has increased with Ontario Pension Board, T. Rowe Price International and Standard Chartered Singapore among the inductees.

Beijing Capital Group Co fought its way through an extremely crowded Asia primary market to garner more than $2.2bn in demand for its bond outing.

China is looking to broaden the financing options of foreign firms by allowing them to list onshore and sell corporate bonds, the State Council said.