Firms need to repay US$254.91b in bonds

    FIRMS in China need to repay 1.66 trillion yuan (US$254.91 billion) in bonds coming due in May, more than double the amount in May last year, the Economic Information Daily reported yesterday, citing data from financial data provider WIND.

    Of the total, around 1.17 trillion yuan are low-rated or unrated bonds, mostly high-yielding, the paper reported. It did not specify if the figures, which it gave in yuan terms, were for onshore or offshore debt.

    Cinda Asset plans preference share sale

    CHINA Cinda Asset Management Co., one of the country’s four State-backed bad debt managers, plans to issue offshore preference shares worth up to 30 billion yuan (US$4.6 billion) to shore up its capital.

    “The company shall conduct a non-public issuance of not more than 300 million offshore preference shares to raise proceeds not exceeding 30 billion yuan or its equivalent to replenish the company’s additional tier 1 capital,” Cinda said in a statement yesterday. The plan, which has obtained approval from Cinda’s board, is still pending approval from the company’s shareholders and authorities, it said.

    BOC Aviation to launch US$1.1b HK IPO

    AIRCRAFT leasing company BOC Aviation Pte Ltd. plans to launch its Hong Kong initial public offering (IPO) Monday, aiming to raise about US$1.1 billion with a rare fixed-price listing, IFR said, citing people close to the deal.

    Singapore-based BOC Aviation, an arm of Bank of China Ltd., will likely sell shares at a fixed price equivalent to 1.1 times its 2016 price-to-book value, IFR reported yesterday. A fixed-price flotation is unusual, with most IPOs setting an indicative range before deciding on the final pricing, depending on demand.

    China Railway Materials to ‘pay debts on time’

    CHINA Railway Materials Co., which once had trading in 16.8 billion yuan (US$2.60 billion) worth of its debt instruments suspended for payment problems, said Tuesday that it would make every effort to pay the debts on time.

    The company would strengthen its efforts to collect retrievables and seek help from other parties to raise funds, it said in a statement. Trading in the company’s debt instruments was suspended April 11 but resumed two weeks later after government asset firm Chengtong Group was appointed to manage its debt issue.