HONG KONG, March 15 Chinese real estate company
Gemdale (Asia) Holding Limited completed its sale of a five-year
2 billion yuan ($322 million) dim sum bond with a coupon of
5.625 percent, according to a term sheet seen by Reuters on
The bond was warmly welcomed by investors, especially fund
managers, and the order books reached 8 billion yuan from 122
Fund and asset managers took 72 percent of the deal,
followed by private banks at 16 percent and banks at 9 percent.
Asia investors were dominant, accounting for 99 percent, with 1
percent distributed to European investors.
Last July, Gemdale issued a three-year dim sum bond with a
coupon as high as 9.15 percent. The newly-sold bond was priced
much tighter with a longer tenor.
HSBC and Standard Chartered Bank arranged the deal.
At present, Chinese internet data center services provider
21Vianet Group is in the market to sell a three-year
benchmark-size dim sum bond with initial price guidance in the
area of 8.25 percent.
Proceeds will be used for data center expansion and general
corporate purposes. The deal is expected to be completed as
early as Friday.
Barclays, CITIC Securities International, DBS and Wing Lung
Bank are joint bookrunners.
This week, there's been strong market demand for high-yield
dim sum bonds. Russian Standard Finance SA re-tapped
the offshore yuan bond market with a two-year bond that was
priced at 7.274 percent and was twice oversubscribed.
($1 = 6.2155 Chinese yuan)
(Reporting by Michelle Chen; Editing by Richard Borsuk)