Beijing Capital Land Raises $500mln in a 3-Year Overseas Bond Sale
On January 24, Beijing Capital Land raised $500 million in a 3-year overseas bond sale at a coupon of 3.875%, with the yield ratio of 4.066%, more than 10 points below the secondary market interest rate, making it the best overseas issue record for Chinese companies this year so far.
The issue attracted 7.5 times the offer and was priced at T+187.5 points, 32.5 points less than the initial price and 62.5 points less than the credit spread of the US dollar-denominated bond issued by the company in January 2017. It shows that the international capital market thinks higher of the corporate brand and credit of the Capital Group and Beijing Capital Land, and investors are confident in the future of their principal business. In particular, during the roadshows in Hong Kong and Singapore, international investment banks showed strong interest in and widely acclaimed the Capital Group’s efforts and progress in deleveraging, reducing the stock and promoting business development.