Shimao Property raises $800m bond

Shimao is the first Chinese developer to launch a high-yield debt offering in 2015, overcoming jitters that have plagued the sector since Kaisa’s woes.

Shimao Property sold an $800 million seven-year bond that is callable in year four on Tuesday evening, the first Chinese developer to tap the Asian high-yield market since the Kaisa complex plagued the sector.

The developer priced its latest Reg S-only bond at 8.375%, which is 37.5bp tighter than its initial price guidance area of around 8.75%, according to a term sheet seen by FinanceAsia. It is also at the tighter end of the final price guidance range. 

Shimao’s offering has expected ratings of Ba3BB-BB, and the proceeds will be used to refinance in part or whole the...

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