Equity Capital Markets
Asia (ex Japan) issuers have raised $3.7 billion via 24 deals so far this week, down slightly on the $3.8 billion raised via 30 deals last week and brings year to date issuance in the region to $70.3 billion, down 13% from the record high of $80.5 billion raised in 2015 YTD.
Guangdong Baolihua New Energy Stock’s $477 million cash placing through sole bookrunner Essence Securities is the largest deal this week. The deal is the largest Utility & Energy ECM transaction on Shenzhen Stock Exchange this year.
A total of $26.5 billion has been raised in the equity capital market in the Shenzhen Stock Exchange so far this year, up almost 3 times from the $9.6 billion raised year on year and the highest YTD volume on record.
The top three banks in the league table ranking remain the same with CITIC Securities leading with $5.9 billion in 2016 YTD, while GF Securities and Huatai Securities follow with $5.5 billion and $4.5 billion, respectively.
| Asia (ex Japan) ECM Bookrunner Rankings - 2016 YTD | ||||
| Bookrunner | Deal Value ($m) | No. | %share | |
| 1 | CITIC Securities | 5,993 | 23 | 8.6 |
| 2 | GF Securities Co Ltd | 5,503 | 19 | 7.9 |
| 3 | Huatai Securities Co Ltd | 4,539 | 13 | 6.5 |
| 4 | Haitong Securities Ltd | 3,684 | 20 | 5.3 |
| 5 | Guosen Securities Co Ltd | 3,323 | 11 | 4.8 |
| 6 | Guotai Junan Securities Co Ltd | 2,798 | 19 | 4.0 |
| 7 | Southwest Securities Co Ltd | 2,340 | 10 | 3.3 |
| 8 | China International Capital Corp Ltd | 2,264 | 9 | 3.2 |
| 9 | Deutsche Bank | 2,212 | 12 | 3.2 |
| 10 | Morgan Stanley | 2,200 | 15 | 3.1 |
Debt Capital Markets
Four issuers have tapped the G3 bond markets in Asia (ex Japan) so far this week for a combined total of $5.3 billion, less than half of the $11.6 billion raised last week
China Petrochemical’s $3.0 billion quadruple - tranche is the largest deal of the week through bookrunners Mizuho, Standard Chartered, JPMorgan, UBS, Goldman Sachs, ICBC, HSBC, CCB, DBS, Agricultural Bank of China, China Merchants Securities, SG Corporate & Investment Banking, Bank of China, Citi and Bank of America Merrill Lynch.
Another notable deal this week is Huawei Investment & Holding’s $2 billion issuance via bookrunner Standard Chartered Bank, HSBC, ANZ, DBS and Bank of China. This is the largest Asia (ex Japan) G3 unrated issuance on record, followed by Lenovo’s $1.5 billion raised in April 2014.
Asia (ex Japan) G3 corporate IG bond volume has dropped to $20.1 billion so far this year, from the $37.9 billion raised in 2015 and is the lowest YTD total since 2011 ($16.0 billion).
HSBC continues its helm at the top of the G3 DCM bookrunner ranking in the region in 2016 YTD with $7.7 billion while Bank of America Merrill Lynch and Citi followed in second and third place with $5.3 billion and $5.27 billion respectively.
| Asia (ex Japan) G3 DCM Bookrunner Rankings - 2016 YTD | ||||
| Bookrunner | Deal Value ($m) | No. | %share | |
| 1 | HSBC | 7,698 | 42 | 11.5 |
| 2 | Bank of America Merrill Lynch | 5,342 | 20 | 8.0 |
| 3 | Citi | 5,275 | 27 | 7.9 |
| 4 | JPMorgan | 4,401 | 23 | 6.6 |
| 5 | Standard Chartered Bank | 3,335 | 14 | 5.0 |
| 6 | Deutsche Bank | 2,680 | 13 | 4.0 |
| 7 | BNP Paribas | 2,598 | 13 | 3.9 |
| 8 | Bank of China | 2,357 | 12 | 3.5 |
| 9 | Morgan Stanley | 2,253 | 10 | 3.4 |
| 10 | Barclays | 2,096 | 10 | 3.1 |
