Market Review

In the primary market, Songyang Guotou and Qiantang River Company participated in the issuance of new USD bonds.

In the secondary market, Chinese USD bond investment-grade market is relatively stable, with state-owned enterprise sector, PetroChina and CNOOC narrowing by 3-7bps; in the technology sector, Tencent widened by 10bps; in the financial sector, ICBC narrowed by 10bps.

Bond market performance

New Release

• Songyang Guotou issued a 3-year term, USD-denominated senior unsecured bond with an issuance yield of 6.5%, size of 53 million USD, bond rating: BBB- by CSI Pengyuan.

• Qiantang River Company issued a 3-year term, USD-denominated senior unsecured guaranteed bond with an issuance yield of 6.25%, size of 0.114 billion USD.

Global bond market performance data

Figure 1. Trends of Chinese and Asian US dollar bond indices (base=100)

Figure 2. Trends of Chinese real estate and urban investment US dollar bond indices (base=100)

Figure 3. Trends in US treasury bond yields (%)

Market News Summary

• Aoyuan Group: Aoyuan Group Limited announced that the company recently received a decision from the Guangdong Securities Regulatory Bureau to issue a warning letter to Aoyuan Group Limited, Guo Zining, Lin Xiantuan, and Chen Zhibin. The specific situation is as follows: Upon investigation, Aoyuan Group Limited (hereinafter referred to as Aoyuan Group), as a corporate bond issuer, failed to disclose significant matters listed as dishonest persons subject to enforcement, failed to timely disclose significant matters related to inability to repay maturing debt, significant litigation and arbitration, and changes in directors and supervisors, thereby violating the relevant provisions of the Administrative Measures for the Issuance and Trading of Corporate Bonds (CSRC Order No. 180).

• Pinghu State-owned Assets Holding Group: Pinghu State-owned Assets Holding Group Limited announced that, according to the notice on the establishment of Pinghu Guofatou Holdings Co., Ltd., in order to further strengthen and optimize Pinghu State-owned enterprises, and continuously enhance the competitiveness of the state-owned economy, it was decided to establish Pinghu Guofatou Holdings Co., Ltd. (referred to as "Pinghu Guofatou"), with the transfer of 90% of the equity held by the Pinghu Finance Bureau to Pinghu Guofatou.

•• Seazen Holdings: Seazen Holdings Group Co., Ltd. announced that the prospectus for the second medium-term notes for 2024 has been registered with the China Foreign Exchange Trading System & National Interbank Funding Center. Citic Securities Co., Ltd. is the lead underwriter, caretaker institution, and bookkeeper for this issuance, with Industrial and Commercial Bank of China Limited and Bank of Communications Co., Ltd. acting as joint lead underwriters. This issuance of notes will be unconditionally and irrevocably guaranteed by Zhongcai Credit Enhancement Investment Co., Ltd.

New bond issuance

(Jointly produced by Zhongtai International and Caixin Media, data sources include Bloomberg, bond trading platform summary, and corporate announcements)