- China Energy Gets $850m Orders for $200m Bond; — Priced at 5.25%, IPT 5.375%
- Kunlun Energy to Sell $Bench 5Y, 10Y; IPT +165bps, +190bps Area
Issuer: Kunlun Energy Co.
Issuer ratings: A1/A+/A
Expected issue ratings: A1/A+/A
144a/Reg S
JGCs: Citi, MS
JBRs: Citi, MS, CS, GS, HSBC, StanChart
- CCB to Sell 10NC5 $Bench Tier 2 Bond, IPT +255bp Area
Issuer: China Construction Bank Corp
Issuer ratings: A1/A/A
Exp issue ratings: –/BBB+/BBB+
Basel III compliant capital bonds
Reg S
Optional Redemption: Optional redemption at par subject to the prior consent of the CBRC and satisfaction of the redemption conditions, and also redemption at par upon a regulatory event, subject to no violation of all applicable regulatory requirements, satisfaction of the redemption conditions, and prior written consent of CBRC. Redemption conditions means
the capital of the issuer will be replenished by substitution of the bonds with capital instruments of the same or superior loss absorption quality to the bonds and such substitution shall only be made at a time at which the issuer has a sustainable income generating capability
the capital position of the issuer immediately after redemption of the bonds will remain significantly higher than the regulatory capital requirements prescribed by the CBRC
substitution or variation: substitute all but not some only of the bonds for, or vary the terms of the bonds so that they remain, qualifying Tier 2 capital instruments, subject to CBRC written consent
Non-viability event: Earlier of either
CBRC having decided that a write-off is necessary, without which the issuer would become non-viable
any relevant authority having decided that a public sector injection of capital or equivalent support is necessary, without which the issuer would become non-viable.
Write-off: Write-off in full occurs
following the conversion into equity, or the cancellation or reduction in full of the principal amount or equivalent and all accrued but unpaid amounts of all additional Tier 1 capital instruments that are capable of being converted, cancelled or reduced
concurrently with the conversion into equity, or the cancellation or reduction in full of the principal amount (or equivalent) and all accrued but unpaid amounts of all other Tier 2 Capital Instruments that are capable of being converted, cancelled or reduced
Use of Proceeds: To boost the tier 2 capital of the Issuer in accordance with the applicable laws and for the purposes approved by the regulatory authorities.
JGCs: CCB Intl, HSBC, Citi, StanChart
JLMs/JBRS: CCB Intl, HSBC, Citi, StanChart, JPM, CS, DB, ANZ