First offshore dim sum bond makes its debut

The first dim sum bond in the offshore market was well-received on Thursday, demonstrating a pickup in sentiment for mainland companies in the yuan market outside China.

Peking University Founder Group Corp, the Beijing-based company with 70 percent shares held by Peking University, raised 1.2 billion yuan ($199.7 million) from its first yuan-denominated bond issued in offshore yuan market on Thursday, through Founder Information (Hong Kong) Ltd, one of its subsidiaries.

The three-year unrated bond was priced at face value with a coupon at 5.875 percent per annum. The sole book runner, DBS Bank Ltd, saw the offering overbooked at 4.6 billion yuan from 76 accounts.