China Power New Energy to raise $77m from bond sale
HONG KONG - China Power New Energy Development said on Monday it plans to raise 500 million yuan ($77 million) from bond sale in Hong Kong to fund the construction and operation of its clean energy projects in the Chinese mainland.
The three-year Renminbi-denominated bonds due 2014 will carry a coupon rate of 3.75 percent, the company said in a stock exchange filing.
The Royal Bank of Scotland and Standard Chartered Bank are arranging the deal.
The proceeds will also be used for the company's business operation and development needs.
The amount of bond issuance has increased over the years, from 10 billion yuan in 2007, 12 billion yuan in 2008, to 16 billion yuan in 2009, according to the Hong Kong Monetary Authority.
The range of issuers has also expanded over time, from the Chinese mainland financial institutions at the beginning, to the Chinese Ministry of Finance and the mainland subsidiaries of Hong Kong banks in 2009, and further to Hong Kong and multinational corporations and international financial institutions.
To date, apart from the Ministry of Finance, the issuers that have issued or launched Renminbi bonds in Hong Kong included China Development Bank, China Export and Import Bank, Bank of China, Bank of Communications, China Construction Bank, HSBC (China), Bank of East Asia (China), Hopewell Highway Infrastructure Limited, McDonald's, Asian Development Bank, International Finance Corporation, Sinotruk, China Resources Power, China Merchants Holdings, BJ Capital Land, among others.