China Railway Construction announces US$500m convertible bond
China Railway Construction, a state-backed railway builder, has announced a plan to raise US$500 million by issuing a bond convertible shares to fund business operations.
The company has engaged JP Morgan, China International Capital Corp and UBS as joint lead managers of the bond issuance, which is convertible into shares equivalent to 2.7% of its total issued shares. The zero-coupon will not pay interest and will mature in five years.
The conversion price on Tuesday 19 was HK$10.30 per Hong Kong-listed H-share, 37.5% higher than the closing price of HK$7.49 on Monday.
The company plans to use the proceeds to fund domestic and overseas projects, investment, potential mergers and acquisitions, bolster working capital and repay bank loans.
Its last equity fund-raising exercise took place in December 2014, when it raised US$188 million by selling mainland-traded A shares to 10 subscribers to finance projects and repay loans.
Country news
-
-
January 26, 2016
China and UNECE sign partnership for PPPs
China’s ‘One Belt, One Road’ initiative, aimed at improving the connectivity between China and Europe along the ancient Silk Road as well by sea, will require massive investments in infrastructure. This will considerably improve infrastructure in both China and in neighbouring countries. Public-Private Partnerships (PPPs) are expected to play a key role in mobilizing the resources needed for these investments. Read more -
January 25, 2016
CSCEC subsidiary wins PPP project in Changsha
A subsidary of China State Construction Engineering Corporation (CSCEC) has won the bid for Changsha Yuening avenue PPP project. Read more -
January 25, 2016
China Water Affairs Group gets financing for water distribution in China
The Asian Development Bank (ADB) has signed an agreement in partnership with 18 banks to support a water supply and distribution project of the China Water Affairs Group (CWA), which aims to improve access to water in underserved areas of the People's Republic of China (PRC). Read more -
January 13, 2016
china´s NDRC announces 8 rail PPP projects
The National Development and Reform Commission (NDRC) of China has announced a total of eight rail public private partnership (PPP) projects. Read more -
January 13, 2016
China Merchants Holdings becomes shareholder of Dalian Port in China
China Merchants Holdings has agreed to subscribe approximately 1,180 million shares of Dalian Port, located in Liaodong Peninsula, China, at a consideration of approximately HK$4,332 million (US$558.2 million). Read more
