Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: RealMuLan who wrote (9641)	7/21/2004 11:12:27 AM
From: RealMuLan	Read Replies (2) \| Respond to of 116555

CHINA plans over U$1b global debenture offer -------------------------------------------------------------------------------- 2004”N07ŒŽ20“ú 01:10 CHINA is planning to issue more than US$1 billion in global bonds in an attempt to allay investor fears of a hard economic landing and encourage mainland companies to tap overseas capital markets, the Financial Times said Monday. The decision to return to the market not long after Beijing sold US$1.5 billion in dollar- and euro-denominated bonds last October is a sign of China's determination to protect its standing among global investors amid growing concerns over a sharp economic slowdown, the newspaper said. It could also herald a change in the fundraising activities of Chinese companies, which have traditionally favored the local debt and international equity markets, the FT said. China's Ministry of Finance is believed to be working on a bond worth more than US$1 billion, with separate tranches to be denominated in dollars and euros, it said. The newspaper quoted people close to the deal as saying the issue could be launched before the end of the year, depending on market conditions. It said China did not need the funds, given its US$471 billion in foreign exchange reserves, but the bond's international road show would provide a chance to reassure investors that measures taken to cool the economy were working. "We don't need the money but we need to build our image in international financial markets," the newspaper quoted an unidentified Ministry of Finance official as saying. "If we don't do anything, then people will forget about us." The Export-Import Bank of China, one of the country's three policy banks, is currently marketing a 10-year dollar-denominated bond. The deal, which is expected to be US$1 billion in size, is expected to be priced this week. Citigroup, Deutsche Bank, Goldman Sachs and HSBC are the lead managers for the proposed bond sale. Meanwhile, China Development Bank, another policy bank, has mandated six banks to sell US$1 billion of 10-year bonds, which the market is expected to be launch in September. (SD-Agencies) sznews.com