CCB capitalises on strong AT1 demand

China Construction Bank generates a strong order book after being fairly generous with pricing.
Building buffers to keep the nation safe
Building buffers to keep the nation safe

China Construction Bank CCB completed a maiden Additional Tier 1 AT1 offering on Wednesday that attracted a strong order book, topping $11 billion at its peak. 

Investors piled into the $3.05 billion deal despite the likelihood of weighty issuance from the Chinese banking sector over the coming few years and questionable spread tightening from already tight levels. 

They also stayed the course after pricing guidance was revised, with bankers reporting very little drop off in the final order book. 

This enthusiasm almost certainly reflected the issuer's decision to be fairly generous with pricing after CCB offered a 10bp to 15bp...

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