New Issue: Zouping Finance sells ¥7.1 billion 2.3% credit-enhanced guaranteed bonds due 2026

By William Gullotti

Buffalo, N.Y., Nov. 27 – China’s Zouping Finance International Co., Ltd. priced ¥7.1 billion 2.3% credit-enhanced guaranteed bonds due 2026 at par, according to a listing notice and an offering circular on Monday.

The bonds will be unconditionally guaranteed by parent company Zouping Financial Development Group Co., Ltd. and feature the benefit of an irrevocable standby letter of credit issued by Qilu Bank Co., Ltd.

Harmonia Capital, Industrial Bank Co., Ltd., Hong Kong Branch, JA Securities, China Galaxy International, China Credit International Securities Co., Ltd., Shenwan Hongyuan (H.K.), Essence International and Sinolink Securities (HK) are the joint lead managers and joint bookrunners, with Harmonia also serving as global coordinator.

Proceeds from the Regulation S offering will be used for financing construction projects and to replenish working capital.

Listing for the bonds is expected on the Chongwa (Macao) Exchange effective Nov. 27.

The issuer is a wholly owned indirect subsidiary of the guarantor, incorporated in the British Virgin Islands on May 11. The guarantor is a state-owned infrastructure construction investment and financing platform located and operating in Zouping in China’s Shandong Province.

Issuer:	Zouping Finance International Co., Ltd.
Guarantor:	Zouping Financial Development Group Co., Ltd.
LoC issuer:	Qilu Bank Co., Ltd.
Amount:	¥7.1 billion
Issue:	Credit-enhanced guaranteed bonds
Maturity:	Nov. 24, 2026
Bookrunners:	Harmonia Capital, Industrial Bank Co., Ltd., Hong Kong Branch, JA Securities, China Galaxy International, China Credit International Securities Co., Ltd., Shenwan Hongyuan (H.K.), Essence International and Sinolink Securities (HK)
Trustee:	Bank of New York Mellon, London Branch
Counsel to issuer:	Tian Yuan Law Firm LLP (England, Hong Kong), Walkers (Hong Kong) (BVI)
Counsel to underwriters:	Jun He Law Offices (England, Hong Kong), Hiways Law Firm (China)
Coupon:	2.3%
Price:	Par
Yield:	2.3%
Call:	For taxation reasons at par plus interest
Puts:	At par plus interest upon change of control or non-registration event
Pricing date:	Nov. 20
Issue date:	Nov. 24
Listing date:	Nov. 27
Distribution:	Regulation S
ISIN:	XS2701572385

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.