Caribbean

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.

Bankers said that the Dominican Republic’s Dominican peso bond sale was the highlight of a busy but choppy day in Latin American primary debt markets, though market volatility cost the sovereign heavily in dollars.

Secondary markets for Latin American bonds have held up well in the context of a storm of hefty sell-offs across global equity markets, but volatility is likely to make new issuance tougher as a raft of high yield borrowers line up deals.

Panda bond issuance has so far been dominated by overseas-incorporated Chinese names. That bolsters volumes, but it does little to help the market fulfil its role of boosting RMB internationalisation. Policymakers have the chance to fix it — but only if they are bold enough to let markets play a bigger role.

Caribbean sovereign the Dominican Republic could become the first Latin American issuer to seek local currency bonds in the international markets this year as bankers say that timing could not be better for traditionally hard to execute deals.

Caribbean sovereign the Dominican Republic will hit the road this Friday as it looks for a first international bond sale of the year, with the sovereign considering a local currency component.

Chinese property developer Country Garden Holdings was forced to pull a Rmb1.8bn ($281.2m) three year Panda bond this week after investors demanded a better return amid rising volatility, writes Noah Sin.

Onshore investors forced red chip issuer Country Garden Holdings to pull a Rmb1.8bn ($281.2m) three year bond on Tuesday. It would have been the real estate company’s first deal in the Panda market since September 2016.

Shenzhen International Holdings has raised Rmb300m ($46.9m) from a five year non put three Panda bond. The deal, which marked the issuer’s first outing in the asset class, was also the first Panda to list in the exchange market in 2018.

Following nearly a year of waiting, red chip company Shenzhen International Holdings is finally gearing up for its Panda bond debut on the Shenzhen Stock Exchange. But the issuer appears to be cautious in its first outing, targeting only Rmb300m ($46.6m).

Property developer Country Garden Holdings is planning a return to the Panda bond market on Friday, after approaching onshore investors with a Rmb1.8bn ($279.8m) three year bond. It will be the first time the company has sold a Panda in the interbank bond market.

Hong Kong-listed China Mengniu Dairy has won regulatory approval to tap the Panda bond market for the first time, and is seeking as much as Rmb15bn ($226.7m) from short and medium term notes.