Aoyuan Issues 3-year RMB1.5 Billion 7.8% Non-public Domestic Corporate Bonds
Date:2015-10-23
(23 Oct 2015 - Hong Kong) China Aoyuan Property Group Limited (“Aoyuan” or the “Company”, Stock Code: 3883), a renowned property developer in China, is pleased to announce that a wholly-owned subsidiary (the “Issuer”) of the Company has successfully issued a RMB1.5 billion non-public domestic corporate bonds with a term of three years and a coupon rate of 7.8% per annum. The issuer shall be entitled to increase the coupon rate and the investors shall be entitled to sell back the bonds at the end of the second year. The proceeds from the non-public corporate bonds issue are expected to be used for refinancing the Company’s existing indebtedness and replenishing its general working capital.
Aoyuan management commented, “Aoyuan has successfully completed a number of financing exercises domestically and overseas during the year, demonstrating the capital markets’ recognition of the Company. Through the non-public domestic corporate bond issue, Aoyuan will not only further diversify its financing channels, but will also lower its borrowing costs and optimize its debt structure. With more diverse sources of financing, Aoyuan will continue to optimize its capital structure and strengthen its financial position so as to support its sustainable development and deliver fruitful returns to its shareholders.”
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