HONG KONG, April 1 (IFR) – New Development Bank set the indicative price range between 2.37% and 2.97% for a three-year Panda bond offering of Rmb 5 billion (US $ 705 million).
Bookbuilding started today and settlement will take place on April 3. Offshore institutional investors can also subscribe via Bond Connect.
The deal is the first coronavirus-themed Panda bond from a multilateral financial institution.
The bonds will be issued on a quota of Rmb 10 billion that the Multilateral Development Bank has registered with regulators.
NDB is rated AA + by S&P and Fitch and the bonds offered are unrated.
It plans to grant a loan of Rmbn 7 billion to the emergency aid program to the Chinese provinces of Hubei, Guangdong and Henan to finance public health expenditure linked to the coronavirus epidemic.
Industrial and Commercial Bank of China is the primary underwriter and bookrunner of the transaction. bank of china, Agricultural Bank of China and Construction Bank of China are joint subscribers.
Based in Shanghai, NDB was created by Brazil, Russia, India, China and South Africa to mobilize resources for infrastructure and sustainability projects in the BRICS and other emerging economies. and developing countries.
(Reporting by Carol Chan; Editing by David Holland)
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