KWG Property upsizes bond to $400 million despite Wen's speech

KWG upsizes its bond to $400 million after attracting a $1.5 billion order book. Separately, DBS revisits the bond markets with a $750 million subordinated bond.
<div style="text-align: left;">
The 320-room W hotel in Guangzhou, one of KWG's most recent projects
</div>
<div style="text-align: left;"> The 320-room W hotel in Guangzhou, one of KWG's most recent projects </div>

KWG Property tested investors’ appetite for single-B rated bonds from property companies late Thursday night when it became the second Chinese real estate company to print a dollar bond this week, following hot on the heels of Agile Property.

The deal was upsized from the targeted $300 million to $400 million despite Chinese premier Wen Jiabao’s speech on Wednesday, which subsequently led to a sell-off in China real estate stocks and bonds. Wen had said that China’s home prices are still far from reasonable an indication that property curbs are likely to be in place for longer than expected.

Despite this, the deal attracted a $1.5...

¬ 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