(ATF) Greenland Holdings Group has been “accepted” to sell 18 billion yuan (US$2.6 billion) of corporate bonds, state-run according to Beijing News reported, citing the Shanghai Stock Exchange.
CITIC Securities will underwrite the sale of the bonds, which will have maturity of no more than seven years and can be issued as a single maturity or variety of tenors.
In addition, the coupon rate of the bond will be determined by the issuer and the lead underwriter in accordance with relevant national regulations based on the results of offline inquiries, the report said. The bonds use single interest to calculate annual yields, rather than compound interest.
Greenland Holdings, a real estate development company, said it intended to use the proceeds of the sale to refinance older debt.
The bond prospectus shows that as of the end of September, the issuer's interest-bearing debt totalled 299.3bn yuan, of which 95.9bn yuan –accounting for 32% of outstanding obligations – was due within a year.