agile-prices-300-million-bond-with-105-yield

Agile prices $300 million bond with 10.5% yield

The deal prices significantly inside fellow Chinese property developer Country Garden, which reopened the high-yield market with a $300 million deal in September.

Agile Property Holdings yesterday raised $300 million from a high-yield, seven-year bond issue that defied the challenging conditions that are plaguing both the debt and equity markets at the moment to achieve an order book of almost $1 billion.

The company never moved away from its initial guidance of around 10.5% and priced the deal with a 10.5% yield. This was roughly on par with fellow Chinese property developer Shimao Property, whose similarly rated 2016 bonds were trading at a yield of about 10.25% at the time of pricing.

However, the re-offer price was set well below par -- at 97.562 -- which allowed Agile to cap the coupon at 10% and reduce its annual...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222