Chinese debut bond deals gather pace

SOE Binhai Investment is out with a maiden dollar bond while energy firm Kunlun Energy begins investor meetings for a potential greenback offering.

Tianjin-based Binhai is a supplier of liquified petroleum gas

Chien Mi Wong

April 28, 2015

Debut bond issuances are gathering pace in Asia as savvy investors learn to price in the mounting default risks, with Chinese issuers dominating the bulk of the pipeline.

Rated Baa3BBB-, Chinese state-owned enterprises Binhai Investment raised its first $200 million three-year bond late on Tuesday.

Binhai priced its maiden Reg S-only bond guaranteed by Tianjin TEDA Investment at US Treasuries plus 245 basis points, which is 35bp tighter than its initial price guidance area of Treasuries plus 280bp, according to a term sheet seen by FinanceAsia.

Chinese energy...

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