China Cinda issues 2 bln yuan 3-yr dim sum bond -term sheet

HONG KONG Wed Dec 5, 2012 10:40pm EST

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HONG KONG Dec 6 (Reuters) - China Cinda Asset Management priced its 2 billion yuan ($321 million) three-year dim sum bond at 4 percent, according to a term sheet obtained by Reuters on Thursday.

Cinda is one of four giant asset managers set up by China in 1999 to remove an estimated 1.4 trillion yuan worth of bad loans from China's top four lenders in one of the world's largest bank bailouts.

"Demand for the bond is good," said a banker close to the deal. "It was priced at the lower end of the final guidance of 4.0-4.1 percent."

The bond, issued through Bitronic Ltd, an indirect wholly owned subsidiary of Cinda, will be settled on Dec. 12 and listed in Hong Kong, the term sheet showed.

UBS, Wing Lung Bank and Standard Chartered Bank (Hong Kong) are the joint global coordinators of the deal.

Agricultural Bank of China International, Bank of China Hong Kong, BOC International, China Construction Bank International, Cinda International Securities, CITIC Securities International, Credit Suisse, Goldman Sachs (Asia), Morgan Stanley, Standard Chartered (Hong Kong), UBS and Wing Lung Bank are joint lead managers and bookrunners.

Dim sum bond sales in Hong Kong picked up in the past month as China's economy showed signs of improvement and risk appetite gradually returned.

Offshore yuan bond issuance has amounted to 145.2 billion yuan so far this year, according to Thomson Reuters statistics. ($1 = 6.2253 Chinese yuan) (Reporting by Michelle Chen; Editing by Paul Tait)

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