• Lenovo extends maturity profile, but at a cost

    Personal computer maker Lenovo priced a $750m deal on Thursday as part of a liability management exercise, switching some investors out of an old bond that will mature next year. But like others in the market, the borrower had to pay a double-digit new issue premium to ensure success.

    • 23 Mar 2018
  • Shandong Iron, Xuzhou LGFV take careful approach to bonds

    Shandong Iron & Steel Group Co and a Chinese government-owned entity from Xuzhou both took a cautious approach to their dollar bonds on Thursday in a market that has become increasingly volatile.

    • 23 Mar 2018
  • Tsinghua Tongfang makes last-minute lurch for dollars

    Chinese technology company Tsinghua Tongfang Co hit the market on Thursday in a desperate attempt to use its offshore regulatory approved fundraising quota before it expires at the end of March. While the issuer managed to raise $300m, the transaction was a rough one.

    • 23 Mar 2018
  • Baidu prices shaky $1.5bn dual-tranche trade

    Baidu managed to raise $1.5bn from a dual-tranche bond on Thursday, but a choppy market backdrop meant the notes took a battering in the aftermarket.

    • 23 Mar 2018
  • Debt bankers fret as heavy pipeline looms large

    DCM bankers in Asia are gearing up for a hectic April as investors put the US interest rate hike behind them. But how will borrowers, particularly those that are lower rated, navigate the many fundraising challenges ahead? Addison Gong finds out.

    • 22 Mar 2018
  • GLP plots rapid return to Panda bond market

    GLP is lining up a three year Rmb1.2bn ($190m) bond in the interbank market next week, less than two months after the issuer sold a bond of the same size in the exchange market.

    • 22 Mar 2018
  • Asia’s bond issuers return after quiet Wednesday

    Asia’s dollar bond issuers were back in the market on Thursday after taking a pause during the US Federal Open Market Committee meeting this week.

    • 22 Mar 2018
  • GAC-Sofinco undeterred by rising cost in China ABS

    Despite bagging Rmb4bn ($633.2m) from the Chinese asset-backed securities market on Tuesday, GAC-Sofinco Auto Finance failed to attract offshore interest and priced the deal wider than it did in its last transaction. But these upsets have not affected the carmaker’s appetite for more onshore deals.

    • 22 Mar 2018
  • Green bonds are a catalyst for wider action, say issuers

    Funding officials said green bonds had stimulated other sustainability work across their organisations at the Climate Bonds Initiative conference in London on Tuesday.

    • 21 Mar 2018
  • Panda hit: Foreign investors line up for Philippines’ debut

    There was a rare sighting in the Panda bond market this week, as international investors outnumbered their onshore counterparts. The Republic of the Philippines completed its first transaction in the asset class, taking home Rmb1.46bn ($230.8m).

    • 21 Mar 2018
  • Beijing Capital paints the town green with $600m deal

    Beijing Capital Group debuted in the green bond market on Monday with a $600m-equivalent deal featuring dollars and offshore renminbi (CNH), finding enough buy-side support to tighten pricing by over 20bp on both the tranches.

    • 20 Mar 2018
  • Investors demand hefty premium from Qinghai LGFV

    China’s Qinghai Provincial Investment Group Co was forced to pay up around 75bp in new issue premium to complete a $250m bond on Friday, as investors voiced their scepticism about the low rated issuer.

    • 19 Mar 2018
  • Short duration, high yield: Gangtai, Yango price 1.5 year bonds

    China’s Gangtai Group Co and Yango Group Co both sold bonds with 1.5 year tenors at the end of last week, catering to the Asian buy-side’s demand for short duration. Their transactions have raised expectations of more short-term issuance from high yield companies.

    • 19 Mar 2018
  • China: What do underwriters actually do?

    While underwriters in the international markets tend to have an important role in price discovery and distribution, some of China’s onshore banks are trying something different and are acting nothing like underwriters.

    • 19 Mar 2018
  • Mind the GAAP: Challenges persist for European Panda issuers

    European corporations have had an easier time selling Panda bonds than those from other parts of the world, thanks to Chinese regulators’ acceptance of their accounting standards. But a recent deal with a guarantee structure — a rarity in the budding asset class — appears to threaten that ease of access.

    • 16 Mar 2018
  • Asian bonds take a breather after supply overload

    Debt bankers in Asia hit a temporary pause button on Wednesday when no dollar deals were launched, as the market recovered from the overwhelming supply in recent weeks. But it was back to business on Thursday, with issuers braving rough conditions to hit the market.

    • 15 Mar 2018
  • Qingdao China Prosperity nabs $500m from debut

    Weak sentiment among investors for duration risk meant Chinese local government financing vehicle Qingdao China Prosperity State-owned Capital Operation (Group) Co sold a larger three year bond than a five year, finding support due to the buy-side’s familiarity with its city.

    • 14 Mar 2018
  • Chinese property dim sum rush continues with Greenland

    Greenland Holding Group Company has joined a slew of Chinese property developers issuing offshore renminbi bonds, but it left something on the table for investors to achieve a relatively large size of Rmb1.5bn ($237m).

    • 14 Mar 2018
  • Chinese issuers venture into euro market

    China’s Tianjin Rail Transit Group Co (TRT) and Chengdu Xingcheng Investment Group Co both dipped into the euro market on Tuesday, with the former printing a green bond.

    • 14 Mar 2018
  • Crédit Ag’s JV joins China auto ABS race

    GAC-Sofinco Auto Finance is preparing to sell a Rmb4bn ($633m) deal in the Chinese asset-backed securities market on March 20, set to be the third foreign name origination in three weeks.

    • 14 Mar 2018
  • Philippines ends long wait for Panda

    After months of anticipation, the Philippines is finally planning to come to the Panda bond market on March 20 for a Rmb1.46bn ($230m) three year deal.

    • 13 Mar 2018
  • Xinyuan pays ‘insane premium’ for bond

    China’s Xinyuan Real Estate Co has sold a par-priced $200m deal, paying one of the highest coupons for a public dollar bond in Asia so far this year.

    • 13 Mar 2018
  • China Eastern takes off with ¥50bn SBLC-backed Pro-Bond

    China Eastern Airlines Corp has raised ¥50bn ($468m) in Tokyo’s Pro-Bond market, breaking new ground in Japan with a standby letter of credit (SBLC) structure. Some bankers reckon the deal could be the first of many to come.

    • 12 Mar 2018
  • Asian debt issuers brace for volatile week

    Four Asian issuers began marketing dollar deals on Monday, as a number of others started testing buy-side appetite through roadshows. But borrowers will have to temper their expectations on size and price, faced with a choppy market backdrop.

    • 12 Mar 2018
  • Nissan’s JV returns with fixed-floating ABS combo

    Dongfeng Nissan Auto Finance stuck to the strategy from its last transaction in October 2017 — of selling a fixed-rate note accompanied by a floating-rate tranche — as it returned to the Chinese asset-backed securities market on Thursday, raising Rmb4.5bn ($709.2m).

    • 09 Mar 2018
  • Air Liquide goes long in Panda debut

    Gas supplier Air Liquide raised Rmb2.2bn ($347m) from its first Panda bond on March 6, becoming the first European issuer sell a bond with a maturity of longer than three years in the asset class.

    • 09 Mar 2018
  • Huaxin, Tewoo win dollars while Shimao nabs dim sum

    Taizhou Huaxin Pharmaceutical Investment Co executed a club-style deal on Thursday, raising $150m from a three year bond. It wasn’t the only Chinese firm wooing the buy-side. State-owned Tewoo Group opted for a perpetual deal, while Shimao Property Holdings tapped the offshore renminbi (CNH) market for the first time.

    • 09 Mar 2018
  • China Resources Land seals Rmb6bn Panda deal

    China Resources Land tapped the Panda bond market for the first time since July 2017, raising Rmb6bn ($945.6m). But few onshore investors who bought the three year bond looked at the trade as a real Panda, according to bankers on the deal.

    • 09 Mar 2018
  • Hengyi falls flat in demanding market

    Zhejiang Hengyi Group Co, a Chinese petrochemical company, was the second issuer to fall short in the international debt market this week, pulling its planned debut dollar bond on Thursday.

    • 09 Mar 2018
  • ChemChina USD1bn 4.125% Mar 2021, EUR1.2bn Jun 2022, USD1.3bn Mar 2023, USD800m Mar 2025, USD1.75bn Mar 2028, USD100m Mar 2048

    • 08 Mar 2018
  • Eighteen banks deliver $6.43bn six trancher for ChemChina

    China National Chemical Corp (ChemChina) enlisted the help of 18 lead managers to sell a six tranche bond in two currencies on Wednesday.

    • 08 Mar 2018
  • Juicy yields attract investors to ChemChina

    China National Chemical Corp (ChemChina) has raised $6.4bn from a six-tranche transaction in euros and dollars to refinance debt taken for Syngenta’s acquisition. The issuer was willing to pay up to take more on the long end of the curve, with the juicy premium summoning a book of more than $15bn at its peak.

    • 08 Mar 2018
  • New central bank rule may hurt offshore AT1 volumes

    The People’s Bank of China’s first update on bank capital regulations in more than a decade has explicitly given the nod to principal write downs, giving banks more options when it comes to switching between the offshore and onshore markets. Addison Gong reports.

    • 08 Mar 2018
  • BRI bonds: new rules fall short on perks and clarity

    Regulators in China have finally published issuance guidelines for Belt and Road bonds. But the rules still do not clearly define which bonds qualify, and fail to address issuers’ concerns on capital repatriation and borrowing costs.

    • 08 Mar 2018
  • Eighteen banks deliver six tranches for ChemChina

    China National Chemical Corp (ChemChina) enlisted the help of eighteen lead managers to sell a six tranche dual currency on Wednesday. The company initially announced five dollar and euro tranches with tenors ranging from three years to 10 years, before adding a 30 year tranche.

    • 07 Mar 2018
  • PowerChina navigates tough market for $300m senior perp

    Power Construction Corporation of China (PowerChina) sealed a two times covered senior perpetual bond on Tuesday, despite overall weak sentiment for such notes in a rising rate environment.

    • 07 Mar 2018
  • Minsheng rides on FRN momentum to raise $1bn

    China Minsheng Banking Corp’s Hong Kong branch has raised $1bn from a dual-tranche transaction. While the fixed rate portion was supported by Mainland banks, demand for the floating rate note (FRN) was yet another testimony of the market’s deep interest in the format.

    • 07 Mar 2018
  • Heavy bond supply proves costly for CDB Leasing

    China Development Bank Financial Leasing Co (CDB Leasing) sealed an opportunistic $100m tap on Monday. But like other borrowers that came to the market on the same day, paying a new issue premium was inevitable because of a weak backdrop and heavy expected supply.

    • 06 Mar 2018
  • China Minmetals ushers in perp with premium

    China Minmetals Corp’s perpetual bond sale on Monday was a demonstration of the market’s strength after a volatile few weeks, but the deal came at a cost.

    • 06 Mar 2018
  • China should push green bond issuers offshore

    China may be one of the world’s largest green bond markets, but its issuer base offshore has only seen limited growth. The market regulator may want to pick up cues from the development of its domestic green debt market to boost international issuance.

    • 06 Mar 2018
  • The price is right: SAIC-GMAC seals ABS in China

    SAIC-GMAC Automotive Finance has sealed its first asset-backed securities deal this year in the Chinese interbank bond market, raising Rmb3bn ($473.3m) from two floating-rate tranches on Monday.

    • 06 Mar 2018
  • CR Land preps Panda as pipeline builds

    China Resources Land is lining up the Panda bond market’s first deal after the Chinese New Year holiday. The Rmb6bn ($946.6m) three year bond, the biggest offer in the asset class in six months, may kick start a streak of onshore transactions, said onshore DCM bankers.

    • 06 Mar 2018
  • Dollar AT1 volume to come under pressure as PBoC clarifies terms

    The People’s Bank of China (PBoC) updated its regulations on capital bonds last week, encouraging lenders to supplement their capital with new issuance and start getting ready to comply with international standards on meeting total loss absorption capacity (TLAC) requirements. But it also clarified loss absorption terms — a move that may impact offshore additional tier one volumes from the Mainland.

    • 05 Mar 2018
  • Apicorp pushes Gulf renminbi bonds to record year

    Arab Petroleum Investments Corporation (Apicorp) became the second issuer from the Gulf to tap the offshore renminbi market this week, making this year already the biggest on record for Gulf renminbi bonds.

    • 02 Mar 2018
  • BOC doubles up on fixed and floating, Fantasia raises $300m for refi

    Bank of China joined its Chinese peers to sell floating rate notes (FRNs) offshore, while Fantasia Holdings Group Co added to the momentum in the high beta property sector. The two finished off an incredible week for both financial and corporate borrowers from the Mainland.

    • 02 Mar 2018
  • SAIC-GMAC lines up Rmb3bn ABS comeback

    China's SAIC-GMAC Automotive Finance wants to raise Rmb3bn ($473.7m) from an asset-backed securitization on Monday.

    • 02 Mar 2018
  • Investors spoilt for choice in China property

    Investors interested in Chinese property bonds had plenty to choose from this week. Eight high yield real estate names raised more than $2.4bn in dollar bonds, with yields ranging from low-6% to over 10%.

    • 01 Mar 2018
  • ‘A week of CNH’ as four credits seal dim sum bonds

    Qatar National Bank and Bank of China kept the momentum going in the offshore renminbi bond market this week, with the latter’s Rmb4bn ($632m) deal the largest in nearly three years. Their success is an encouraging sign about appetite for the currency.

    • 01 Mar 2018
  • Modern Land builds $350m HY green bond

    Modern Land (China) Co sold its third green dollar bond on Tuesday, as it remains the only Chinese green issuer from the high yield property sector.

    • 01 Mar 2018
  • Updated: Nissan’s China JV prepares year’s third foreign ABS

    Dongfeng Nissan Auto Finance will be returning to the Chinese asset-backed securities market on March 8 with a Rmb4.5bn ($710m) dual-tranche deal on the interbank market — the largest transaction by a foreign name originator so far this year.

    • 01 Mar 2018

GlobalRMB Panda Bonds league table

Rank Arranger Share % by Volume
1 Industrial and Commercial Bank of China (ICBC) 20.05
2 China CITIC Bank Corp 17.18
2 Agricultural Bank of China (ABC) 17.18
2 CITIC Securities 17.18
5 China Merchants Securities Co 9.74

Panda Bond Database

Pricing Date Issuer Country Size Rmb (m)
1 20-Mar-18 Republic of the Philippines Philippines 1,460
2 08-Mar-18 China Resources Land China 6,000
3 06-Mar-18 Air Liquide Finance France 2,200
4 09-Feb-18 Sino-Ocean Group Holdings Hong Kong 3,000
5 06-Feb-18 Global Logistic Properties via Iowa China Offshore Holdings Hong Kong 1,200

Offshore RMB Bond Top Bookrunners

Rank Bookrunner Share % by Volume
1 Standard Chartered Bank 40.71
2 HSBC 14.48
3 DBS 5.36
3 Bank of China (BOC) 5.36
3 KGI Asia 5.36

Latest Offshore RMB Bonds

Pricing Date Issuer Country Size Rmb (m)
1 16-Mar-18 First Abu Dhabi Bank PJSC United Arab Emirates 900
2 14-Mar-18 Greenland Holding Group China 1,500
3 08-Mar-18 Shinhan Bank South Korea 950
4 05-Mar-18 Country Garden Holdings China 950
5 02-Mar-18 Arab Petroleum Investments Corporation (Apicorp) Saudi Arabia 630