- Hit the record for the longest maturity period and the lowest coupon rate of the Group’s offshore bond issuance
- Optimize the Group’s financing costs and extend debts duration
HONG KONG SAR – 6 January 2021 – CIFI Holdings (Group) Co. Ltd. (“CIFI” or the “Group”, HKEx stock code: 884), a leading real estate developer and investor in first-, second- and robust third-tier cities in China, is pleased to announce that CIFI successfully issues senior notes with an aggregate principal amount of US$419 million.
The senior notes are at a coupon rate of 4.375% and yield of 4.4% with a 6.25-year maturity period, which hit the record for the longest maturity period and the lowest coupon rate of the Group’s offshore bond issuance.
The issue attracts enthusiastic response, with total orders at peak time exceeding US$4.8 billion, which was over 11 times of the total issue size. 82% of total issuance is allocated to Asian investors, while the remaining 18% is allocated to European investors.
The final allocation to institutional investors is 72%, which consists of world-renowned and large-scale asset management companies and long-term investors. The subscription results and market response reflect the high recognition of CIFI by the investors in the capital market. The proceeds of the note will be used for re-financing of the Group’s existing indebtedness.
Credit Suisse, Haitong International, HSBC, J.P. Morgan and Standard Chartered Bank are the joint global coordinators, while Credit Suisse, Haitong International, HSBC, J.P. Morgan, Standard Chartered Bank, The Bank of East Asia, Limited, BOSC International, China CITIC Bank International and Yue Xiu Securities are the joint bookrunners and joint lead managers of the issuance.
Mr. Lin Zhong, Chairman of CIFI, said “We are pleased to see the strong demand for the notes issue. The issue hits the Group’s record for the longest maturity period and the lowest coupon rate of the offshore bond issuance, and it reflects investors’ recognition and support of business prospects of CIFI. The Group will continue to implement prudent financial management and build long-term investment value.”
About CIFI (Group):
Headquartered in Shanghai, CIFI is one of China’s top real estate developers. CIFI principally focuses on developing high-quality properties in first-, second- and select third-tier cities in China. CIFI develops various types of properties, including residential buildings, offices and commercial complexes.