China Construction Bank

China Construction Bank (CCB) and China Citic Bank International this week priced Basel III-compliant tier two deals, raising $2.35bn between them. The deals represent only the latest supply from Asia’s bank capital market, which is gearing up for a busy year. Addison Gong reports.

China property names continued their bombardment of the dollar market on Tuesday, as four more bond issuers raised a combined total of $2bn.

China Cinda Asset Management Co raised $1bn from a foray into the bond market, going for the lower-end of its size target despite what bankers on the deal called an ‘overwhelming’ response from investors.

Chinese real estate companies Zhenro Properties and China Aoyuan Group reopened the Asian offshore bond market with a bang, as cash rich investors flocked to their transactions.

Chinese property issuers led the reopening of Asia’s offshore bond market following a week-long holiday in the Mainland to celebrate the Lunar New Year. Investors responded to the new deals with enthusiasm.

The party in Chinese high yield real estate bonds continued this week, with China Aoyuan Group, Zhenro Properties and Yuzhou Properties taking home $1.15bn between them on Tuesday.

Chinese local government financing vehicle Huzhou Communications bagged Rmb500m ($73.1m) this week in its first offshore renminbi offering.

Policy lender China Development Bank printed a dual-currency, three-tranche transaction on Tuesday, raising $2.4bn-equivalent. While it paid just a couple of basis points of new issue premium for the dollar bonds amid a short-lived market rally, demand for the euro portion exceeded expectations.

Power Construction Corporation of China (PowerChina) guaranteed a dollar bond for its real estate arm on Thursday, with the notes tightening by two basis points in the secondary market.

Shandong Iron & Steel Group, Excellence Commercial Properties and Sunshine 100 China Holdings completed their offshore fundraising exercises on Wednesday after announcing their deals with final price guidance.

China State Construction International Holdings’ (CSCI) $500m perpetual bond sale on Monday proved that investors still have an appetite for the structure — if the terms are right.

Australian coal producer Yancoal has begun bookbuilding for its HK$1.54bn ($196.88m) dual listing on the Hong Kong stock exchange, offering its stock at a considerable premium to its domestically traded shares.