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UPDATE 2: China Hongqiao Group Prices $270M 6.925% SUNs Due Nov. 29, 2028 at Par
Thu May 22, 2025 09:52 PM ET: Hong Kong-listed aluminum producer China Hongqiao Group Ltd. announced to the Hong Kong stock exchange late Thursday that it has priced at par $270 million 6.925% senior unsecured notes due Nov. 29, 2028.
As reported, initial price guidance was in the 7.4% area.
Proceeds are for general corporate purposes, as reported.
The notes will pay interest semi-annually in arrears on May 29 and Nov. 29 of each year, commencing Nov. 29, 2025, according to the announcement.
At any time prior to Nov. 29, 2028, the company may at its option redeem the notes in whole, at a redemption price equal to 100% of the notes’ principal amount redeemed plus the applicable premium as of, and accrued and unpaid interest, to the redemption date.
At any time and from time to time prior to Nov. 29, 2028, the company may at its option redeem up to 35% of the notes’ aggregate principal amount with the net cash proceeds of one or more sales of common stock of the company in an equity offering at a redemption price of 106.925% of the principal amount of the notes redeemed, plus accrued and unpaid interest, to the redemption date.
Settlement is on May 29. The notes will be listed on the Singapore Exchange.
UPDATE 1: China Hongqiao Group Sets FPG at 6.925% for $270M Capped 3.5Y USD SUNs
Thu May 22, 2025 05:13 AM ET: Hong Kong-listed aluminum producer China Hongqiao Group has set final price guidance at 6.925% for its proposed up-to $270 million 3.5-year Reg S senior unsecured USD notes issue, according to terms seen by Octus.
The FPG tightened from initial price guidance in the 7.4% area.
Proceeds are for general corporate purposes, as reported.
The new notes will be issued by Hongqiao, and guaranteed by subsidiary guarantors including China Hongqiao Investment Ltd., Hongqiao Investment (Hong Kong) Ltd. and Hongqiao (HK) International Trading Ltd.
Original Story 10:38 p.m. UTC on May 21, 2025
China Hongqiao Group Seeks Up-to $270M 3.5Y USD SUNs, IPG in 7.4% Area
Hong Kong-listed aluminum producer China Hongqiao Group is marketing a capped $270 million 3.5-year Reg S senior unsecured USD notes issue and has set a 7.4%-area initial price guidance, according to terms seen by Octus.
Proceeds are for general corporate purposes, the terms state.
Timing is as early as today, May 22. The notes are expected to be rated BB- by S&P and BB+ by Fitch.
Lead global coordinator is China CITIC Bank International (B&D). Joint global coordinators, bookrunners and lead managers are China CITIC Bank International, Guotai Junan International, Crédit Agricole CIB, CNCB Capital, CITIC Securities, UBS, DBS Bank, Deutsche Bank, CMB International, CICC, Haltong International, BOC International, SunRiver International Securities Group, Dragonstone Capital, Fortune Origin Securities and BG Securities.
Settlement is May 29, 2025, the terms show.
China Hongqiao priced $330 million 7.05% three-year notes at 7.05% yield on Jan. 6, 2025. The 7.05% notes were indicated around 100.5/101.5 today, according to Solve Advisors.
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