(Corrects paragraph 4 to clarify that the bond, not the
subsidiary bank, will be listed on the London stock exchange)
SHANGHAI Jan 9 Bank of China's London branch
issued 2.5 billion yuan ($413 million) worth of yuan-denominated
bonds in London on Wednesday local time, the first such issue by
the UK branch of a Chinese bank, according to a statement by the
bank and domestic media reports.
It comes as Beijing seeks to increase the international
usage of its currency for trade and investment by foreign
multinationals, even as it tinkers with liberalising its capital
account at home.
The plan to conduct the issue was published on the Bank of
China's website without specifying the amount, which was
reported by the official Xinhua news service.
The announcement added that the bond will list on the London
"The funds raised from the deal will all be retained in
London to support the further development of the London offshore
RMB market as well as UK-China bilateral trade and investment,"
the Bank of China statement said.
The statement said HSBC, UBS and Bank of America Merrill
Lynch have been appointed as joint managers for the issue, to be
coordinated by Bank of China.
($1 = 6.0512 Chinese yuan)
(Reporting by Pete Sweeney; Editing by Chris Gallagher)