[ET Net News Agency, 12 February 2020] On 11 February, the Agricultural Development
Bank of China (ADBC) has reopened its 3.4% Dim Sum Regulation S bonds due 2024 for a tap
of RMB1.5 billion, bringing the total outstanding to RMB4.5 billion.
The additional bonds were sold at 101.835 to yield 2.98%. The oversubscription rate
peaked at 8.3 times.
Owing to the overwhelming response, the bonds were able to be priced 4.3bps into its
secondary market yield curve of its onshore comparable peers with similar tenor and on the
day of pricing and 17bps tightened compared with its own secondary level.
It also received tremendous support from a foreign central bank, who got the most
allocation.
This issuance was not only the first offshore tap by the ADBC but also the first "Dim
Sum Bond" in the "Year of Rat", with the entire roadshow and bookbuilding completed
remotely.
The use of proceeds would be to support key strategic developments in rural areas and to
use as loan on fighting the current Novel Coronavirus Pneumonia breakout in China.
The Joint Global Coordinator of this issuance would be Bank of China (03988), Standard
Chartered Bank (02888) and Bank of Communications (03328). The Joint Lead Manager and
Bookrunner include Bank of China, Standard Chartered Bank, Bank of Communications,
Agricultural Bank of China Limited Hong Kong Branch, China Construction Bank (00939), ICBC
(Asia), Shanghai Pudong Development Bank, China CITIC Bank International, Mizuho
Securities, KGI Asia, Credit Agricole CIB and CTBC Bank. (KL)