CDB to issue RMB 10 bln in 7-year bonds on Jun 10

Published: 08 Jun 2009 21:45:58 PST

Top 5 News From ChinaKnowledge.com

Cisco signs MOU with Shenzhen government
JPMorgan raises H-share holding in ICBC to 5.03%
Hang Seng Index opens 197 points higher on Tue
Commonwealth Bank of Australia cuts stake in China Resources
China Minsheng to launch H-share listing

Jun. 9, 2009 (China Knowledge) - China Development Bank (CDB), which was converted from a policy lender into a stockholding commercial bank last year, said that it plans to issue RMB 10 billion in seven-year floating-rate bonds on Jun. 10, sources reported.

The lender said in a statement on Friday that it has the option to sell an additional RMB 5 billion in bonds.

The floating rate benchmark of the bonds is the Shanghai Interbank Offered Rate, or Shibor, according to the statement.

The interest will be calculated from Jun. 16 and will be paid quarterly.

The Beijing-based bank has issued a total of RMB 65 billion in bonds in its four previous bond sales, comprising RMB 15 billion on Mar. 25, RMB 20 billion on Apr. 8, RMB 15 billion on Apr. 22 and RMB 15 billion on May 12.

CDB plans to sell another RMB 3 billion of bonds in Hong Kong later this month, mainly to retail investors, since institutional investors in Hong Kong are not permitted to buy RMB bonds, Reuters reported, citing sources as saying.

Copyright © 2009 www.chinaknowledge.com