CITIC Group

It was high yield that sprung back to life in Asia this week, while investment grade counterparts remained on the sidelines amid a cautious environment. Market participants remain hopeful that the region’s high yield market will benefit from a possible Brexit-driven pivot from European investors, write Narae Kim and Max Bower.

Citic Envirotech has priced a $180m tap of its existing $175m 5.45% perpetual notes at the tighter margin of 4.25%, becoming the first Asian G3 bond issuer since the UK’s decision last Friday to leave the European Union.

Singapore water treatment firm Citic Envirotech is seeking a tap of the $175m 5.45% perpetual notes that it originally sold last year, becoming the first issuer in Asia to test the G3 market since Brexit.

Chinese conglomerate, Citic, raised $1.25bn from dual-tranche dollar notes, which were its first outing to the dollar bond market since changes to its structure nearly two years ago. The markets were still jittery but the issuer was able to live up to its name value by effortlessly raising the target amount and saving costs.

Bookrunners on a S$192m ($137.8m) loan for Citic Envirotech are sounding out a select group of banks to join the deal in syndication.

Citic Capital Holdings has wrapped up its latest fundraising at HK$3bn ($387m), higher than the launch size of HK$1.80bn thanks to solid demand. The outcome was largely predicted by bankers as the company’s previous loan too was oversubscribed.