New Issue: China's Chong Hing Bank prices $225 million 6% notes due 2020 to yield 6.069%

By Christine Van Dusen

Atlanta, Oct. 28 - Hong Kong's Chong Hing Bank Ltd. priced $225 million 6% subordinated tier 2 notes due Nov. 4, 2020 (Baa3//BBB) at 99.488 to yield 6.069%, or Treasuries plus 337.5 basis points, a market source said.

Goldman Sachs, HSBC and UBS were the bookrunners for the Regulation S-only deal, which includes a regulatory switch in which the subordinated notes will turn senior on or after Jan. 1, 2013 if regulations change.

Proceeds will be used to strengthen the bank's capital base and fund operations.

Chong Hing is a lender.

Issuer:	Chong Hing Bank Ltd.
Amount:	$225 million
Maturity:	Nov. 4, 2020
Description:	Subordinated tier 2 notes
Bookrunners:	Goldman Sachs, HSBC, UBS
Coupon:	6%
Price:	99.488
Yield:	6.069%
Spread:	Treasuries plus 337.5 bps
Trade date:	Oct. 28
Settlement date:	Nov. 4
Ratings:	Moody's: Baa3
	Fitch: BBB
Distribution:	Regulation S only

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