On November 13th, The Hongkong and Shanghai Banking Corporation Limited announced that it has successfully issued RMB 4.5 billion Panda bonds in the mainland interbank bond market. This issuance is part of the bank's recently approved plan to issue RMB 10 billion bonds in mainland China, and it is also its second issuance of Panda bonds since 2015.
The Panda bonds issued this time have a three-year term and a basic issuance scale of 3 billion yuan. After exercising the excess issuance right, a total of 4.5 billion yuan was raised, priced at 2.15%, and received 1.88 times oversubscription. The raised funds will be used to meet the continuous growth demand of offshore market corporate clients for RMB, while supporting more RMB internationalization related businesses.
For this issuance, HSBC Bank in Hong Kong and Shanghai has obtained an AAA credit rating from the credit rating agency Chengxin International, with a stable outlook. The credit rating of this bond project is AAA. The lead underwriter and joint bookkeeper for this issuance are HSBC Bank (China) Limited. As one of the first international commercial banks to issue panda bonds, HSBC in Hong Kong and Shanghai raised a total of RMB 1 billion in its first issuance in 2015.
The Panda Bond issuance has received positive responses from domestic and foreign investors, and we are delighted to provide them with more options to invest in high-quality RMB assets in the mainland market. HSBC has been actively meeting the growing demand for RMB from global customers and is committed to promoting the development of the mainland capital market and enhancing Hong Kong's unique position as an offshore RMB center, "said Liao Yijian, Co CEO of HSBC Asia Pacific
It is reported that there have been 100 panda bond issuances from January to October this year, with a total issuance amount of 178 billion yuan, and the overall issuance scale will reach a new high in history.