DOCSLIB.ORG

Bank of China Debt Capital Markets Capabilities Market Outlook 2020

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Bank of China Debt Capital Markets Capabilities Market Outlook 2020 PRIVATE & CONFIDENTIAL Bank of China Debt Capital Markets Capabilities Market Outlook 2020 Bank of China Limited January 2020 0 Content BOC Capabilities 2 Market Developments and Outlook 9 Case Studies 20 DCM Team 54 Green Bond Developments 56 1 Experience and Capabilities - Top Asian Debt Capital Market Franchise EM Bonds 2019 League Table (bln USD) Bookrunner Rank Vol Issues Global coverage with DCM Centre established across key financial centers – Beijing, Hong Kong, Singapore and London. Bank of China 1 89.4 646 Citics 2 69.2 575 Global footprint with diversified investor base and solid relationship with major global investors who could provide supportive anchor orders, especially in Asia. ICBC 3 66.1 482 China Securities 4 64.7 577 Global Global Strong support from in-house investment book with a potential credit line for corporate names. Citi 5 62.2 451 Coverage HSBC 6 61.7 581 Strategy partner in RMB transactions. Guotai Junan 7 54.5 525 Asian top underwriter for G3 issuance, and the only leading underwriter in both China Onshore and Offshore market. JP Morgan 8 51.6 346 CICC 9 48.3 350 Standard Chartered 10 43.5 440 2019 2019 2019 2019 2018 2018 2018 2017 Logicor Financing CPI Property SA PPF Arena 1 CEZ Group EP Infrastructure Agricultural Development EUR Ministry of Finance of the EUR 500 million due 2022 Bank of China Luxembourg People’s Republic of China EUR 1,850 million EUR 550 million EUR 550 million Senior Unsecured Bond EUR750 million Transactions Senior Unsecured Bond Subordinated Bond Senior Unsecured Bond Co-Manager Senior Unsecured Bond EUR 500 million EUR 2 billion EUR 4 billion Multi-tranche Joint Bookrunner and Joint Joint Bookrunner and Joint Joint Bookrunner and Joint Joint Bookrunner and Joint Green Bond Senior Unsecured Bond Eurobond Lead Manager Lead Manager Lead Manager Lead Manager Joint Global Coordinator, Joint Global Coordinator, Joint Bookrunner and Joint Joint Bookrunner and Joint Joint Bookrunner and Lead Manager Lead Manager Joint Lead Manager 2019 2019 2019 2019 2019 2019 2018 2018 \ Veolia CASA CDP BMW Finance NV United Overseas Bank New Development Bank Hungary The Emirate of Sharjah RMB Transactions RMB 1 billion 1 year RMB 1 billion 3 year RMB 1 billion 3 year RMB 6.5 billion 1/3 year RMB 2 billion 3 year RMB 3 billion 3/5 year RMB 2 billion Panda Bond RMB 2 billion Panda Bond Panda Bond Panda Bond Panda Bond Panda Bond Panda Bond Panda Bond after RMB 1 billion in 2016 Lead Bookrunner and Lead Lead Bookrunner and Lead Bookrunner and Lead Bookrunner and Lead Bookrunner and Lead Bookrunner and Joint Lead Bookrunner and Lead Bookrunner and Lead Manager Lead Manager Lead Manager Lead Manager Lead Manager Lead Manager Joint Lead Manager Manager 2019 2019 2019 2018 2018 2017 2016 2016 Republic of Philippines Sinopec CNOOC Ministry of Finance of the Saudi Arabia Ministry of Finance of the Saudi Arabia China Development Bank USD USD 2 billion Multi-tranche USD 1.5b Multi-tranche People’s Republic of China People’s Republic of China USD 1b/ EUR 1b (Jan ) USD 1.5 billion Senior Unsecured Bond Senior Unsecured Bond USD 11 billion Multil-tranche USD 17.5 billion Multil- USD 1.6b /EUR 1b (May ) Transactions Senior Unsecured Bond Joint Global Coordinator, Joint Global Coordinator, USD 3b Multi-tranche Senior Senior Unsecured Bond USD 2b Dual-tranche Senior tranche Senior Unsecured USD 1.5b (Jun ) Joint Global Coordinator, Joint Bookrunner and Joint Joint Bookrunner and Joint Unsecured Bond Joint Bookrunner and Joint Unsecured Bond Bond USD 350m/ EUR 500m (Oct ) Joint Bookrunner and Joint Lead Manager Lead Manager Joint Global Coordinator, Lead Manager Joint Global Coordinator, Joint Bookrunner and Joint Joint Bookrunner and Joint Lead Manager Joint Lead Manager Joint Lead Manager Lead Manager Lead Manager 2 Source: Bloomberg as of 06 Jan 2020 *in Bold selected EMEA transactions Credentials - Growing Market Presence Bank of China has Asia ex-Japan G3 Currency League Table 2013 (bln USD) Asia ex-Japan G3 Currency League Table 2019 (bln USD) improved its Asia ex- Japan G3 Currency Bookrunner Rank Vol. (bn USD) Issues Bookrunner Rank Vol. (bn USD) Issues League Table Position HSBC 1 15.4 139 HSBC 1 28.6 323 from no. 10 in 2013 to Deutsche Bank 2 11.9 107 Standard Chartered 2 18.6 234 top 4 in 2019; and ranks Citi 3 11.2 100 Citi 3 16.2 177 Goldman Sachs 4 10.9 59 no 2 in Offshore China Bank of China 4 15.5 264 JP Morgan 5 10.7 87 Bonds in 2019, with 5x JP Morgan 5 11.0 129 Standard Chartered 6 9.6 74 UBS 6 10.4 143 of underwriting volume UBS 7 8.9 87 since 2013. Bank of America Merrill CACIB 7 10.4 99 Lynch 8 7.9 73 Credit Suisse 8 10.2 130 Barclays 9 6.9 56 Haitong Securities 9 9.8 197 Bank of China 10 5.1 58 Deutsche Bank 10 9.4 116 2013 2018/2019YTD Offshore China Bonds League Table 2013 (bln USD)* Offshore China Bonds League Table 2019 (bln USD)* Bookrunner Rank Vol. (bn USD) Issues Bookrunner Rank Vol. (bn USD) Issues HSBC 1 9.5 176 HSBC 1 33.1 612 JP Morgan 2 8.6 106 Bank of China 2 21.8 491 UBS 3 8.3 205 CACIB 3 17.9 383 ICBC 4 7.3 87 Nomura 4 17.1 654 Goldman Sachs 5 6.7 58 UBS 5 11.1 207 Standard Chartered 6 6.6 142 DCS Group 6 10.9 227 Citi 7 6.5 101 Haitong Securities 7 10.2 244 BGC Partners LP 8 5.6 35 Scotiabank 8 10.2 303 ICAP 9 5.6 54 Bank of Comms 9 10.0 215 Bank of China 10 4.7 95 CCB 10 9.7 243 Source: Bloomberg, 07 Jan 2020 * Chinese issuers in G3 currency 3 Bank of China is the Leading Panda Bond House Issuer Name Deal Eff Date Cpn Amount Issued Curr Maturity Series League Table: Veolia 17/12/2019 3.70 1,500,000,000 CNY 17/12/2020 PPN Panda Bond Issuance 2019 Credit Agricole 04/12/2019 3.40 1,000,000,000 CNY 05/12/2022 Daimler AG 13/11/2019 Multi 5,000,000,000 CNY Multi PPN Bookrunner Rank % BMW Finance NV 21/10/2019 Multi 3, 000,000,000 CNY Multi PPN Bank of China 1 45.73 Daimler AG 12/08/2019 Multi 5,000,000,000 CNY Multi PPN ICBC 2 19.48 Cassa Depositi e Prestiti SpA 31/07/2019 4.50 1,000,000,000 CNY 01/08/2022 BMW Finance NV 12/07/2019 Multi 3, 500,000,000 CNY Multi PPN Citics 3 13.59 Malayan Banking Bhd 21/06/2019 Multi 2,000,000,000 CNY Multi HSBC 4 4.77 Portugal 30/05/2019 4.09 2,000,000,000 CNY 03/06/2022 Stand Chartered 5 3.02 Trafigura Group Pte Ltd 20/05/2019 5.49 540,000,000 CNY 20/05/2022 PPN ABC 6 2.77 Philippine 15/05/2019 5.00 2,500,000,000 CNY 20/05/2022 CCB 6 2.77 United Overseas Bank 07/03/2019 3.49 2, 000,000,000 CNY 14/03/2022 BMW Finance NV 04/03/2019 4.00 3, 000,000,000 CNY 08/03/2022 PPN BNP Paribas 8 2.49 New Development Bank BRICS/The 19/02/2019 Multi 3, 000,000,000 CNY Multi China Securities 9 1.96 Hungary Government International Bond 19/12/2018 4.30 2, 000,000,000 CNY 19/12/2021 CDB 10 1.91 Daimler AG 22/11/2018 Multi 4,000,000,000 CNY Multi PPN Trafigura Group Pte Ltd 28/09/2018 6.20 700,000,000 CNY 28/09/2021 PPN Daimler AG 15/08/2018 4.50 1,000,000,000 CNY 20/08/2021 PPN League Table: Daimler AG 15/08/2018 3.70 3,000,000,000 CNY 20/08/2019 PPN Panda Bond Issuance 2016-2018 Veolia Environment SA 09/08/2018 4.00 1,000,000,000 CNY 10/08/2019 PPN Trafigura Group Pte Ltd 22/05/2018 6.50 500,000,000 CNY 24/05/2021 PPN Bookrunner Rank % Daimler AG 09/05/2018 Multi 5,000,000,000 CNY Multi PPN Bank of China 1 42.94 Trafigura Group Pte Ltd 27/04/2018 6.50 500,000,000 CNY 27/04/2021 PPN ICBC 2 35.93 Philippine Government International Bond 13/03/2018 5.00 1,460,000,000 CNY 23/03/2021 HSBC 3 8.59 Air Liquide Finance SA 05/03/2018 Multi 2,200,000,000 CNY Multi PPN Emirate of Sharjah Government International Bonds 29/01/2018 5.80 2,000,000,000 CNY 02/02/2021 Standard Chartered 4 3.55 Mizuho Bank Ltd 12/01/2018 5.30 500,000,000 CNY 16/01/2021 PPN China Int’l Capital 5 2.11 MUFG Bank Ltd 12/01/2018 5.30 1,000,000,000 CNY 16/01/2021 Haitong Securities 6 1.43 Daimler AG 10/01/2018 5.60 3,000,000,000 CNY 12/01/2021 PPN China Development Bank 7 1.42 Province of British Columbia Canada 17/11/2017 4.80 1,000,000,000 CNY 23/11/2020 ABC 8 0.98 Daimler AG 15/11/2017 5.45 4,000,000,000 CNY 17/11/2020 PPN United Co RUSAL PLC 04/09/2017 5.50 500,000,000 CNY 04/09/2020 China Merchants Securities 8 0.98 Daimler AG 22/08/2017 5.12 5,000,000,000 CNY 24/08/2020 PPN CCB 10 0.71 Hungary Government International Bond 21/07/2017 4.85 1,000,000,000 CNY 27/07/2020 Malayan Banking Bhd 17/07/2017 4.60 1,000,000,000 CNY 24/07/2020 Bank of China executed 40 of 44 Daimler AG 16/05/2017 Multi 4,000,000,000 CNY Multi PPN United Co RUSAL PLC 17/03/2017 5.50 1,000,000,000 CNY 20/03/2020 Panda bonds within the EMEA region, Daimler AG 14/03/2017 4.60 3,000,000,000 CNY 15/03/2018 PPN and awarded the Best Panda Daimler AG 08/11/2016 Multi 4,000,000,000 CNY Multi PPN bond house National Bank of Canada 28/10/2016 3.05 3,500,000,000 CNY 03/11/2019 in both 2018 and 2019.
Load more

Recommended publications
  • Initial Public Offerings
    November 2017 Initial Public Offerings An Issuer’s Guide (US Edition) Contents INTRODUCTION 1 What Are the Potential Benefits of Conducting an IPO? 1 What Are the Potential Costs and Other Potential Downsides of Conducting an IPO? 1 Is Your Company Ready for an IPO? 2 GETTING READY 3 Are Changes Needed in the Company’s Capital Structure or Relationships with Its Key Stockholders or Other Related Parties? 3 What Is the Right Corporate Governance Structure for the Company Post-IPO? 5 Are the Company’s Existing Financial Statements Suitable? 6 Are the Company’s Pre-IPO Equity Awards Problematic? 6 How Should Investor Relations Be Handled? 7 Which Securities Exchange to List On? 8 OFFER STRUCTURE 9 Offer Size 9 Primary vs. Secondary Shares 9 Allocation—Institutional vs. Retail 9 KEY DOCUMENTS 11 Registration Statement 11 Form 8-A – Exchange Act Registration Statement 19 Underwriting Agreement 20 Lock-Up Agreements 21 Legal Opinions and Negative Assurance Letters 22 Comfort Letters 22 Engagement Letter with the Underwriters 23 KEY PARTIES 24 Issuer 24 Selling Stockholders 24 Management of the Issuer 24 Auditors 24 Underwriters 24 Legal Advisers 25 Other Parties 25 i Initial Public Offerings THE IPO PROCESS 26 Organizational or “Kick-Off” Meeting 26 The Due Diligence Review 26 Drafting Responsibility and Drafting Sessions 27 Filing with the SEC, FINRA, a Securities Exchange and the State Securities Commissions 27 SEC Review 29 Book-Building and Roadshow 30 Price Determination 30 Allocation and Settlement or Closing 31 Publicity Considerations
    [Show full text]
  • Competition in China's Securities Market: Reform of Current Regulatory System Chenxia Shi Monash University
    Loyola University Chicago International Law Review Volume 3 Article 7 Issue 2 Spring/Summer 2006 2006 Competition in China's Securities Market: Reform of Current Regulatory System Chenxia Shi Monash University Follow this and additional works at: http://lawecommons.luc.edu/lucilr Part of the International Law Commons Recommended Citation Chenxia Shi Competition in China's Securities Market: Reform of Current Regulatory System, 3 Loy. U. Chi. Int'l L. Rev. 213 (2006). Available at: http://lawecommons.luc.edu/lucilr/vol3/iss2/7 This Feature Article is brought to you for free and open access by LAW eCommons. It has been accepted for inclusion in Loyola University Chicago International Law Review by an authorized administrator of LAW eCommons. For more information, please contact [email protected]. COMPETITION IN CHINA'S SECURITIES MARKET: REFORM OF CURRENT REGULATORY SYSTEM Chenxia Shit I. Introduction The recently amended Securities Law in China took effect on January 1, 2006.1 While the amended law could be stronger, it goes a long way in making amendments to more than 100 articles concerning "expansion of the scope of the securities under regulation, separate regulation for different financial sectors among the banking, insurance, and securities industries, public offering, forward trading, money and stock lending/financing, permitting State-owned enterprises ' 2 and banking funds to enter the stock market, and better protection of investors. The amended law provides a platform for liberalizing and developing China's securities market, however implementation of most of these reforms is left to the direction of the State Council to enact specific regulations.
    [Show full text]
  • U.S. Century Bank Announces Pricing of Initial Public Offering of Class a Common Stock
    U.S. CENTURY BANK ANNOUNCES PRICING OF INITIAL PUBLIC OFFERING OF CLASS A COMMON STOCK MIAMI—July 22, 2021—U.S. Century Bank (USCB) announced today the pricing of the initial public offering of 4,000,000 shares of its Class A common stock, at a public offering price of $10.00 per share for expected net proceeds to U.S. Century Bank, after deducting the underwriting discount and estimated offering expenses, of approximately $34.0 million. The shares are expected to begin trading on Friday, July 23, 2021 on The Nasdaq Global Market under the symbol "USCB." The offering is expected to close on or about July 27, 2021, subject to the satisfaction of customary closing conditions. U.S. Century Bank has granted the underwriters a 30-day option to purchase up to an additional 600,000 shares of its Class A common stock, at the initial public offering price of $10.00 per share, minus the underwriting discount. If the underwriters' option is exercised in full, it is expected to result in additional net proceeds to U.S. Century Bank of approximately $5.6 million after deducting the underwriting discount and estimated offering expenses. U.S. Century Bank intends to use the net proceeds from this offering to support continued growth, including organic growth and potential future acquisitions, as well as for the redemption of any remaining outstanding shares of U.S. Century Bank preferred stock following the completion of the voluntary exchange offer being separately conducted, pursuant to which U.S. Century Bank has offered all holders of outstanding Class C preferred stock and Class D preferred stock the ability to exchange such shares for shares of its Class A common stock at the initial offering price.
    [Show full text]
  • Equity Capital Markets Credentials
    Equity Capital Markets credentials February 2020 Strictly private and confidential Nordea Markets – Investment Banking Selected Equity Capital Markets credentials February 2020 January 2020 January 2020 Accelerated Accelerated Accelerated Bookbuilding Bookbuilding Bookbuilding CreateCreate CreateCreate CreateCreate tombstoneDeal valuetombstone tombstoneDeal valuetombstone tombstoneDeal valuetombstone hereNOK 518mhere hereNOK 850mhere hereSEK 1.3bnhere Joint Bookrunner Joint Lead Manager & Joint Bookrunner Joint Bookrunner 1 Equity Capital Markets credentials Confidential Nordea Markets – Investment Banking Selected Equity Capital Markets credentials January 2020 December 2019 December 2019 November 2019 November 2019 November 2019 Accelerated Accelerated Rights issue Accelerated Accelerated Accelerated bookbuilding bookbuilding bookbuilding bookbuilding bookbuilding CreateCreate on behalf of CreateCreate CreateCreate CreateCreate CreateCreate CreateCreate tombstoneDeal valuetombstone tombstoneDeal valuetombstone tombstoneDeal valuetombstone tombstoneDeal valuetombstone tombstoneDeal valuetombstone tombstoneDeal valuetombstone hereDKK 6.1bnhere hereSEK 312mhere hereSEK 1,500mhere hereSEK 290mhere hereEUR 161mhere hereSEK 840mhere Joint Global Coordinator Joint Global Coordinator Co-manager Joint Bookrunner Joint Bookrunner Joint Bookrunner and Joint Bookrunner and Joint Bookrunner November 2019 November 2019 October 2019 October 2019 September 2019 September 2019 IPO Accelerated Accelerated Listing Accelerated Accelerated bookbuilding bookbuilding
    [Show full text]
  • Select Recent Financial Sponsor Transactions
    Select Recent Financial Sponsor Transactions July 2016 June 2016 June 2016 June 2016 May 2016 May 2016 May 2016 has merged with a portfolio company of a portfolio company of a portfolio company of a portfolio company of a portfolio company of a portfolio company of portfolio companies of has been acquired by $60,000,000 Incremental Term Loan $70,000,000 $885,000,000 $349,393,000 For an Aggregate of $650,000,000 $2,025,000,000 Incremental Term Loan B Senior Secured Credit Facilities Follow-On Offering $208,050,000 Senior Secured Notes Senior Secured Credit Facilities Senior Secured Credit Facilities Left Lead Arranger, Joint Bookrunner Co-Manager Joint Lead Arranger & Joint Bookrunner Joint Lead Arranger & Joint Bookrunner Sell-Side Advisor Joint Lead Arranger & Joint Bookrunner Joint Bookrunner & Administrative Agent April 2016 April 2016 February 2016 February 2016 February 2016 February 2016 February 2016 a portfolio company of a portfolio company of a portfolio company of a portfolio company of has sold a portfolio company of has acquired a portfolio company of has been acquired by has acquired to a portfolio company of $56,000,000 $550,000,000 $178,816,935 $145,000,000 Senior Secured Credit Facilities Senior Secured Credit Facilities Follow-On Offering Senior Secured Credit Facilities Joint Lead Arranger, Sole Bookrunner Joint Lead Arranger & Joint Bookrunner Buy-Side Advisor Joint Bookrunner Joint Lead Arranger & Joint Bookrunner Sell-Side Advisor & Administrative Agent Sell-Side Advisor February 2016 January 2016 January 2016 January
    [Show full text]
  • Prospectus-24-November-2020.Pdf
    National Express Group PLC (incorporated and registered in England and Wales under the Companies Act 1985 with registered number 2590560) £500,000,000 Perpetual Subordinated Non-Call 5.25 Fixed Rate Reset Notes Issue Price: 100 per cent. The £500,000,000 Perpetual Subordinated Non-Call 5.25 Fixed Rate Reset Notes (the "Notes") are issued by National Express Group PLC (the "Issuer"). Each Note entitles the holder thereof (each a "Noteholder") to receive cumulative interest in accordance with the terms and conditions of the Notes (the "Conditions" and references herein to a numbered Condition shall be construed accordingly). Interest on the Notes will accrue: (i) from, and including, 26 November 2020 (the "Issue Date") to, but excluding, 26 February 2026 (the "First Reset Date") at an interest rate of 4.250 per cent. per annum, and (ii) from, and including, the First Reset Date at an interest rate per annum equal to the relevant Reset Interest Rate (as defined in the Conditions). Interest in respect of the Notes will be payable (subject to deferral as described herein) annually in arrear on 26 February in each year (short first interest period). Interest payments in respect of the Notes may be deferred in certain circumstances. See Condition 4 for further details. If the Issuer does not elect to redeem the Notes following a Change of Control Event (as defined in the Conditions), the then prevailing rate of interest (and all subsequent rates of interest (if any)) in respect of the Notes shall be increased by 5 per cent. per annum with effect from, and including, the date on which the Change of Control Event occurs (see Condition 4 for further details).
    [Show full text]
  • "Panda Bonds: Measures and Guidelines for Foreign Investors" Legal Update
    Panda Bonds: Measures and Guidelines for foreign investors In the first half of 2018 the issuance of the so-called Panda Bonds amounted to RMB 51.49 billion, more than 70% of the total issuance in 2017 and, by the end of 2018, a total of 57 overseas institutions (mainly non-financial enterprises) have been registered or approved for bond issuance in the Chinese Interbank Bond Market (“CIBM”) with an approved issued amount of RMB 453.3 billion. As a preliminary remark, the term Panda Bond refers to bond denominated in renminbi, which a non- Chinese organization issues in China Mainland (Hong Kong, Macau and Taiwan excluded) with the aim to raise capital from investors located in the People’s Republic of China (“PRC”). The vigorous opening up of the Chinese bond market and the increasing number of overseas institutions allowed to issue Panda Bond has led Chinese government to promulgate new more sophisticated rules which officially abolish the old PRC legal framework of 2010 and have greater alignment with international practices. On September 8, 2018, the People's Bank of China ("PBOC") and the Ministry of Finance (“MOF”) jointly issued the Interim Measures of the Administration of Offshore Institutions' Bond Offering in National Interbank Bond Market (“Measures”). In addition, the National Association of Financial Market Institutional Investors (“NAFMII”) issued the Guidelines for Debt Financing Instrument Business of Overseas Non-financial Enterprises (for Trial Implementation) ("Guidelines"), immediately effective from the date of issuance, January 17, 2019. The Guidelines, to be read together with the Measures, set out major requirements and clarifications for overseas investors regarding the following three main aspects as: information disclosure, use of funds raised and requirements for intermediary agencies.
    [Show full text]
  • Firm Overview Capital Raising M&A Senior Leadership
    FIRM OVERVIEW Bridgepoint Investment Banking is a market-leading boutique investment bank that serves clients over their corporate lifecycles by providing capital raising and M&A advisory services. Bridgepoint serves clients globally across the focus sectors below. Bridgepoint is the first impact investment bank, hyper-focused on making a positive impact on its people, clients, communities and the environment. Bridgepoint CAPITAL RAISING Office Locations SECTORS OF FOCUS • Recapitalization Industrials & • Ownership liquidity Transportation • Growth capital Healthcare • Refinancing • Acquisition financing Business & IT Services • Rescue finance • Leveraged finance Consumer & M&A WHY BRIDGEPOINT Retail • Sell-side M&A advisory INTEGRITY • Corporate divestitures DEAL EXPERTISE & EXPERIENCE Technology WALL STREET PROCESS • Buy-side M&A advisory LOCAL & ACCOUNTABLE • Management buyouts DEEP CONNECTIVITY TYPICAL CLIENT SIZE • Cross-border M&A TENACITY Enterprise values of FOCUS ON IMPACT $20 million to $500 million SENIOR LEADERSHIP Wm. Lee Merritt Gary Grote Nick Orr Matt Plooster Mike Anderson MD & General Managing Managing President & CEO Managing Counsel Director Director Director Natasha Subhash Bryan Wallace Chad Gardiner Alex Spanel Plooster Marineni Managing Director Associate Director COO Vice President bridgepointib.com In order to offer securities-related Investment Banking Services discussed herein, to include M&A and institutional capital raising, certain representatives of Bridgepoint Investment Banking are registered representatives
    [Show full text]
  • Green Panda Bond Handbook
    Handbook How to issue a green panda bond Investment in low-carbon solutions will Existing rules provide clear guidance to Chinese policymakers are keen on be essential for meeting global emission ensure market robustness facilitating investment in green assets reduction targets under the Paris Agreement Regulators in China have published guidelines As China accelerates the transitions toward on climate change. Given the projected on green bonds issuance procedures, criteria to a green and sustainable growth model, green climate volatility over the coming decades, define green assets and projects, requirements investment is expected to play a pivotal role. infrastructure, with its long life time, should on external review and verification, and In August 2016, China’s seven ministerial be designed as climate resilient. guidance on post-issuance disclosure. agencies jointly released the Guidelines for The rapid growth of the global green bond These guidelines provide clear guidance and Establishing the Green Financial System,3 making market has shown that capital markets for issuers on how to issue green bonds in China the first country to establish a policy provide a promising channel to finance China’s bond market, with a view to enhance framework for green financial system. climate investments. potential issuers’ capacity and market integrity. The Guidelines call for the securities market The booming Chinese green bond market For more details on green bond guidelines to promote green investment for institutional offers great opportunities and regulations, see Table 3 on page 4. investors (pension funds and insurance companies) to invest in green financial With total issuance of USD60.9bn as of Domestic investors have been supporting products; and investors to release green October 2018, China is now the world’s the growth of China’s green bond market investment responsibility reports.
    [Show full text]
  • Initial Public Offerings in Canada
    INITIAL PUBLIC OFFERINGS IN CANADA From kick-off to closing, Torys provides comprehensive guidance on every step essential to successfully completing an IPO in Canada. A Business Law Guide i INITIAL PUBLIC OFFERINGS IN CANADA A Business Law Guide This guide is a general discussion of certain legal matters and should not be relied upon as legal advice. If you require legal advice, we would be pleased to discuss the matters in this guide with you, in the context of your particular circumstances. ii Initial Public Offerings in Canada © 2017 Torys LLP. All rights reserved. CONTENTS 1 INTRODUCTION ...................................................................................... 3 Going Public .......................................................................................................... 3 Benefits and Costs of Going Public ...................................................................... 3 Going Public in Canada ........................................................................................ 4 Importance of Legal Advisers ............................................................................... 5 2 OVERVIEW OF SECURITIES REGULATION AND STOCK EXCHANGES IN CANADA ............................ 8 Securities Regulation in Canada .......................................................................... 8 Where to File a Prospectus and Why .................................................................... 8 Filing a Prospectus in Quebec ............................................................................
    [Show full text]
  • DEBT MARKETS a Brief Introduction to China's Bond Market
    DEBT MARKETS JOINT RESEARCH RUSSIA AND CHINA February 28, 2019 A brief introduction to China’s bond market A brief introduction to the history Structure, regulation, and opening-up of China’s bond market ……………………..……….…2 — China’s bond market is ranked third globally in terms of size, How China’s bond market is occupying about 95% of GDP. With rapid economic growth, stable organized …………………………….3 financial conditions, and government support in its developing capital The structure of issuers and market, China’s bond market is growing quickly in terms of both investors in China’s bond issuance and trading volume, with increasingly diversified bond market.………..…………………….…5 varieties, issuers, and investors. Bond issuance is now the main channel How China’s bond market is regulated .…………………………….8 of direct financing for corporates in China. What’s going on in the primary — Market fragmentation is one of the features of China’s bond market?……...………………………..10 market. China’s bond market is dominated by the interbank bond What’s going on in the secondary market (OTC market) and supplemented by the exchange bond market. market?..….....................................13 Due to lack of connectivity, sub-markets are discrete, with different Assessing credit risk in China trading systems, market participants, and bond varieties. Accordingly, through credit ratings …..……….17 the regulatory framework is also fragmented. This is reflected in Assessing credit risk in China multiple systems of regulation with different regulatory concepts, through credit bond spread ……18 operation mechanisms, and regulatory styles on different trading floors Assessing credit risk in China by different regulators. through analysis on defaults …..19 The opening-up of China’s bond — Governmental institutions are the main issuers and commercial market ….......................................22 banks are the main holders.
    [Show full text]
  • New Regulations for Panda Bonds in China's Interbank Market
    October 11, 2018 Banking & Finance Law New Regulations for Panda Bonds in China's Interbank Market Financial and Investment Management Department In recent years, with the development of China's economy and the internationalization of the renminbi, more and more overseas financial institutions and non-financial institutions have issued renminbi-denominated bonds in China1 ("Panda Bonds"). The number and size of the Panda Bonds issued in 2018 have increased significantly. For the half year ended 30 June 2018, 23 Panda Bond issuances were offered in the China Interbank Bond Market ("CIBM") with a total amount of RMB 41.26 billion, accounting for 80.13% of total Panda Bond issuances by value2. Eight Panda Bonds were issued in the Exchange Bond Market with a total amount of RMB 10.23 billion, accounting for 19.87% of the total Panda Bond issuances by value3. Despite the relatively large size of Panda Bond issuances in China's markets, the relevant regulators had not issued specialized regulations for Panda Bonds, except for regulations on issuances of Panda Bonds by international development institutions. In practice, other overseas institutions that have issued Panda Bonds in the CIBM, such as foreign government agencies, overseas financial institutions and non-financial enterprises, have had to refer to relevant regulations and rules for domestic institutional bond issuances, which has led to some uncertainty. On 25 September 2018, the People's Bank of China ("PBOC") and the Ministry of Finance ("MOF") officially issued the Interim Measures for Administration of the Issuance of Bonds by 1 "China" and "Domestic" (for the purposes of this article only) refer to the territory of the People’s Republic of China, excluding the Hong Kong Special Administrative Region, the Macao Special Administrative Region and Taiwan; “overseas” (for the purposes of this article only) refers to countries and regions outside of China.
    [Show full text]