Chinese support does COLI good

摘要

China Overseas Land International has priced the first euro-denominated bond from a PRC property developer, thanks to Chinese support that carried the deal through markets still nervous about a potential Greek exit from the eurozone. The €600m (US$660m) four-year bond, which priced at 99.587 at a spread of 155bp over mid-swaps, was largely anchored from the onset, a feature that bankers said was crucial for any new issue in a volatile euro market with hardly any primary activity. Bankers close to the deal, which came 15bp inside initial price thoughts, said most of the anchor orders came from Chinese banks. "There's no way we can do a deal like this without Chinese interest, in a market like this, in euros," said a banker on the deal. "For a euro debut from the first Chinese property company, you need to have a Chinese base to build on."