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Issuance and Marketing Strategy in the Local Currency Market –
A Case Study of the ADB “Panda Bonds”
May, 2006
2STRICTLY PRIVATE AND CONFIDENTIAL
Disclosures
The information, tools and material presented in this report are provided to you for information purposes only and shall not be used or considered as an offer or the solicitation of an offer to sell or to buy or subscribe for securities or other financial instruments. BOCI Group may not have taken any steps to ensure that the securities referred to in this report are suitable for any particular investor. The contents of this report do not constitute investment advice to any person and such person shall not be treated as a customer of BOCI Group by virtue of receiving this report.
Information and opinions presented in this report have been obtained or derived from sources believed by BOCI Group to be reliable, but BOCI Group makes no representation as to their accuracy or completeness and BOCI Group accepts no liability for loss arising from the use of the material presented in this report unless such liability arises under specific statutes or regulations. This report is not to be relied upon in substitution for the exercise of independent judgment. BOCI Group may have issued other reports that are inconsistent with, and reach different conclusions from, the information presented in this report. The reports reflect the different assumptions, views and analytical methods of the analysts who prepared them. For the avoidance of doubt, views expressed in this report do not necessarily represent those of BOCI Group.
Information, opinions and estimates are provided on an “as in” basis without warranty of any kind and may be changed at any time without prior notice. Nothing in this report constitutes investment, legal, accounting or tax advice nor a representation that any investment or strategy is suitable or appropriate to your individual circumstances. Nothing in this report constitutes a personal recommendation to you.
3STRICTLY PRIVATE AND CONFIDENTIAL
Highlights of the ADB “Panda Bonds” Deal
The debut of Panda Bond issued by International Development Institutions
The first internationally AAA rated bond available to Chinese investors on the domestic market
Catalyst to the opening of Chinese capital market as one of the first foreign issuers
Another remarkable achievement for ADB in local currency markets
Carefully prepared and successfully arranged one-on-one meetings and roadshows helped the issuer and investors learn about each others effectively, ensuring successful pricing & optimal allocation
Book-building and pricing mechanism accurately reflected investor demand at the time, and truly achieved “market driven pricing”
Order oriented allocation ensured bonds are held by real interested investors
Close cooperation between the issuer and the lead manager
BOCI provided one-stop service from advisory, underwriting, to post-offering support
Well-established sales network guaranteed the success of the offering
4STRICTLY PRIVATE AND CONFIDENTIAL
Table of Contents
I. Overview of China’s Bond Market
II. ADB Panda Bonds Case Study
1. Transaction Summary
2. Marketing Strategy
3. Deal Execution
4. For Future Issuers
III. BOCI Credentials
STRICTLY PRIVATE AND CONFIDENTIAL
I. Overview of China’s Bond Market
6STRICTLY PRIVATE AND CONFIDENTIAL
China’s Bond MarketChina’s Bond Market
Non- exchange marketsNon- exchange markets Exchange marketsExchange markets
Inter-Bank Inter-Bank MarketMarket
OTC marketOTC market Shanghai & Shenzhen Shanghai & Shenzhen Stock ExchangesStock Exchanges
Product Types: Treasury bond
Policy financial bond
Corporate bond
Regulatory agency
People’s Bank Of China
Major investors
Financial institutions
Product Types: Treasury bond
Regulatory agency
People’s Bank Of China
Major investors
Institutions and
households
Product Types: Treasury bond
Corporate bond
Convertible bond
Regulatory agency
China Security Regulatory Commission
Major investors Institutions and households
Bond Market Structure
7STRICTLY PRIVATE AND CONFIDENTIAL
0
1000
2000
3000
4000
5000
6000
7000
8000
1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
government bondpolicy financial bondcorporate bond
China’s Market Enjoys Exponential Growth
( RMB Billions)
Issuance size comparison for government, policy financial and corporate bondsIssuance size comparison for government, policy financial and corporate bondsIssuance size comparison for government, policy financial and corporate bondsIssuance size comparison for government, policy financial and corporate bonds
Over RMB 600 billionOver RMB 600 billionin 2003in 2003
Source: www.chinabond.com.cn, BOCI ResearchAs of April 30
STRICTLY PRIVATE AND CONFIDENTIAL
II. ADB Panda Bonds Case Study 1. Transaction Summary 2. Marketing Strategy 3. Deal Execution 4. For Future Issuers
9STRICTLY PRIVATE AND CONFIDENTIAL
Background
In October 2005, The Asian Development Bank (ADB) completed one of the first-ever RMB Bond issuances by a foreign entity in the domestic Chinese market. BOC International acted as the Sole-lead Manager and Bookrunner on this transaction
Domestic RMB Bonds issued by foreign entities were christened as “Panda Bonds” by the Ministry of Finance ADB and IFC were selected as the two pilot issuers in this market
ADB and IFC simultaneously launched their issues during the week of 10th Oct, the ADB bond was listed on the Inter-Bank Market immediately following the offering
ADB’s October offering was the result of comprehensive preparation and planning as well as overcoming numerous issuance hurdles that spanned regulatory and legal aspects, settlement mechanisms and post-issuance arrangements
By following international best practices and providing full disclosure, the issuer and lead manager set a precedence and contributed to the development of the local bond market
The path blazed by this first issuance has cleared the way for further opening of this market.
BOCI successfully completed The Asian Development Bank’s inaugural Panda Bonds in October 2005
10STRICTLY PRIVATE AND CONFIDENTIAL
The “window department” of RMB Bonds issued by international development institutions, coordinates applications & reports to the Sate Council for final approval.
National Development& Reform Commission
Key Regulators
MOF
Ministry of Finance
NDRC
Inspects and verifies the use of proceeds of the bond.
PBOC
People’s Bank of ChinaThe central bank, supervising the National Inter-bank Bond Market.
CSRCChina Securities Regulatory Commission
Regulator of the securities industry and the stock exchanges.
SAFEState Administration of Foreign ExchangeApproves the opening of bank accounts. It will also require monthly report from foreign issuers about transactions relating to the bank account.
CGSD Chinese Government Securities Depository Clearing & Trust Co. LtdThe only clearing and trust agency on the Inter-bank market. Who is also the paying agent for all bonds issued and traded in the Inter-bank market.
PANDA BONDSPANDA BONDS
11STRICTLY PRIVATE AND CONFIDENTIAL
Transaction Overview
: The Asian Development Bank
: RMB denominated 10-year Fixed Rate Bond – Panda Bond
:
RMB 1,000,000,000:
General, direct, unconditional, unsubordinated and unsecured obligations of the issuer
: 14 October 2015
: 3.34% Annual Fixed Coupon
: 100%
: China Government Securities Depository Trust and Clearing Co.,Ltd
: Laws of the People’s Republic of China
IssuerIssuer
IssueIssue
: BOC International (China) Limited Sole Lead Manager and Book-Sole Lead Manager and Book-RunnerRunner
Issue AmountIssue Amount
TypeType
Maturity DateMaturity Date
Coupon Rate/FrequencyCoupon Rate/Frequency
Issue PriceIssue Price
Depository/Paying AgentDepository/Paying Agent
Governing LawGoverning Law
: The National Inter-bank Bond MarketListingListing
: “AAA” by S&P, “Aaa” by Moody’s, and “AAA” by FitchCredit RatingCredit Rating
12STRICTLY PRIVATE AND CONFIDENTIAL
Significant Achievements
As this is the first of its kind, the ADB Bond deal overcame a significant number of execution hurdles
The transaction followed international standards of disclosure and execution, in line with the issuer’s objective to promote the development of the domestic bond market
Groundbreaking Execution
Effective Marketing Strategy
Attractive Pricing
Effective marketing strategy & strong selling effort Attracted a high quality order book with an subscription
ratio of more than 2.8x, especially when compared to an average subscription ratio of under 2.0x for other financial bonds during the same period
Conducted a domestic roadshow, a first for domestic bond issuances, in Beijing and Shanghai to introduce ADB to the Chinese investor base
Published an effective pre-deal research piece to highlight the credit of ADB
Conducted a full marketing program tightly coordinated by BOCI, thus ensuring that pricing reflected true demand from investors
As a result, ADB’s offering achieved the tightest pricing of comparable issues
STRICTLY PRIVATE AND CONFIDENTIAL
II. ADB Panda Bonds Case Study 1. Transaction Summary 2. Marketing Strategy 3. Deal Execution 4. For Future Issuers
14STRICTLY PRIVATE AND CONFIDENTIAL
Highly Effective Marketing Strategy
BOCI was the sole bookrunner tightly coordinating the entire marketing process
Supplemented with a syndicate of 7 domestic financial institutions to maximize investor reach and achieve a broad and stable investor base
Strong Syndicate Structure
Comprehensive Pre-marketing
Effective Roadshow Program
Comprehensive pre-marketing since beginning of the deal
Full pre-deal research piece (which is an international practice, and in compliance with PRC regulations)
Market soundings by our research analyst and salespeople
The first-ever formal roadshow program used in conjunction with a domestic bond offering
Investor group meetings in Beijing and Shanghai allowed over 50 institutional investors to meet with ADB management over the marketing period
15STRICTLY PRIVATE AND CONFIDENTIAL
Highly Efficient Time Table
Distribute pre-deal research
Form syndicateOne-on-One
meetings with potential anchor
investors
Formal feedback from investors
Re-priced pricing range
Deal LaunchedRoadshowBookbuilding
Pricing and Allocation
Within a short time frame of two months, BOCI successfully completed ADB’s inaugural Panda bonds in China via an
extremely efficient execution process
16STRICTLY PRIVATE AND CONFIDENTIAL
Fully Leveraging the Syndicate Structure
Selection of syndicate members to complement BOCI’s strengths The syndicate consistent with domestic practice, and syndicate members
“stand by underwrite” their commitments at the beginning of the deal However, as an innovation to satisfy ADB’s desire to achieve a balanced
investor base, BOCI as bookrunner allocated the syndicate’s demand according to quality of demand. This is more common in international debt offerings
In order to maximize the syndicate’s efficiency in communicating ADB’s investment merits and pricing rationale, BOCI invested much time and effort to educate and familiarize the syndicate members with the credit story of ADB
As the sole bookrunner, BOCI was able to manage the investment story and generate demand tension
ICBC ABC CCB EverbrightGuo Tai &
JunAn Shenyin
&WanGuo
Changjiang BNP
Paribas
Syndicate Members – 5% Stand-by underwriting each
Sole Lead Manager and Bookrunner – 65% underwriting
17STRICTLY PRIVATE AND CONFIDENTIAL
Comprehensive Pre-marketing Effort
BOCI’s top-ranked fixed income research team produced a full report on ADB in Chinese a few days prior to the offering
As the domestic investor base did not previously have much exposure to ADB, this was important in their credit assessment and pricing considerations
Following issuance of the research report, our research analyst and sales team met with potential investors to assess their preferences, concerns and demand levels prior to the official launch of the deal
BOCI has conducted pre-marketing one-on-one meeting with over institutional 14 investors Only large size potential anchor investors were
approached at this stage The feedback was important in allowing us to
recommend and set an accurate price range for the offering
Pre-marketing effort enhanced understanding of ADB by potential anchor investors
18STRICTLY PRIVATE AND CONFIDENTIAL
Roadshow
Shanghai
Beijing
17 investors in Beijing and 33 in Shanghai
Agricutural Bank of ChinaBank of ChinaBeijing BankBeijing Rural Commercial BankChina Fund Management China Life Asset Management China Postal Savings Reserve BureauChina Reinsurance Asset Management China Shipping High Industry Finance CNOOC Finance Everbright Bank of ChinaHarvest Fund ManagementICBC UBS Asset Management Mingsheng Bank of ChinaMingsheng Life InsuranceTaikang Life Insurance
Haifutong Fund Managemnet Haire New York Life Insurance HSBC Shanghai BranchHuaan Fund Managemnet J.P Morgan Chase Shanghai BranchManulife-Sinochem Insurance Pingan Insurance (Group) Shanghai Auto (Group) Finance Shanghai Baoshan Steel Finance Shanghai Baoshan Steel Group Shanghai Pudong Development BankShanghai Rural Commercial BankShenyin Wanguo Securities Sino Life Insurance Standard Chartered Bank ShanghaiTaiping Life Insurance Tianan Insurance Investment Mgmt Centre
Agricultural Bank of ChinaAIG Shanghai BranchBank of China Shanghai Capital Mgmt CentreBank Of CommunicationsBank Of Communications Schroder Fund Management Changjiang BNP Paribas Securities China Continent Property & Casualty Insurance China Pacific Insurance (Group) China People Insurance AMCitibank Shanghai BranchDeutsche Bank Shanghai BranchGalaxy Fund Managemnet Guolanan Fund Managemnet Guotai Fund Managemnet Guotai Junan Securities Guotai Life Insurance
STRICTLY PRIVATE AND CONFIDENTIAL
II. ADB Panda Bonds Case Study 1. Transaction Summary 2. Marketing Strategy 3. Deal Execution 4. For Future Issuers
20STRICTLY PRIVATE AND CONFIDENTIAL
Pre-Offering Phases
Policy Approval Appointment
by ADB Application
PreparationApplication to
Authorities
November 2004, Chinese government gave policy approval for Panda bond issuance
December 2004, BOCI was appointed by ADB as the manager for its inaugural Panda bond offering
All key application documents were prepared between December 2004 to March 2005
Obtain approvals from Ministry of Finance, People’s Bank of China and State Administration of Foreign Exchange
Applications to Authorities
Ministry of FinancePeople’s Bank of ChinaState Administration of Foreign Exchange
Ready to Launch
21STRICTLY PRIVATE AND CONFIDENTIAL
The Role of The Sole Lead
Rating AdvisoryRating Advisory
Legal OpinionLegal Opinion
Accounting StatementsAccounting Statements
Paperwork for SAFE,PBOC,SDRC,etc.
Paperwork for SAFE,PBOC,SDRC,etc.
BOCI acted as the interface between
ADB and the various financial intermediaries in
China.
BOCI also helped ADB with its
communications and approval
process with the Chinese
Government.
22STRICTLY PRIVATE AND CONFIDENTIAL
Marketing Plan And Investment Story (1)
PRE-MARKETING:
Target investor groups:
Banks
Insurance Companies
other Institutional investors
Rationale:
The most active and influential investors in the local bond market
With large portfolio size and appetite for quality names
Already familiar with ADB and its international issuer status
23STRICTLY PRIVATE AND CONFIDENTIAL
Marketing Plan And Investment Story (2)
Road Show:
3 major financial centers: Beijing, Shanghai and Shenzhen
Maximize Key investor coverage
Follow international practice, such as luncheon presentations and
1 on 1 meetings
Pricing in Shanghai, based on the prevailing Treasury
benchmark yield on pricing day
Invite leading domestic financial media to boost publicity
24STRICTLY PRIVATE AND CONFIDENTIAL
Marketing Plan And Investment Story (3)
Investment Story:
First high-quality, international issuer in the RMB bond market
Strong financial position and debt servicing capacity
Government support and Quasi-Sovereign status
Proven success in local markets
Commitment to the development of China’s RMB bond market
25STRICTLY PRIVATE AND CONFIDENTIAL
Pricing Parameters
2.9
3.0
3.1
3.2
3.3
3.4
3.5
3.6
05/9/15 05/9/22 05/9/29 05/10/6 05/10/13 05/10/20 05/10/27
YTM
CDB 10 year 3.35%
ADB 10 year 3.34%
Treasury Bond
IFC 10 year 3.40%CDB Bond
ADB achieved tighter pricing than similar offerings
The pricing achieved was 25 bps over comparable Chinese Treasuries
One must note that only Chinese Treasury coupons are tax-exempt whereas Panda bond holders are subject to income taxes, taking that into account, the pricing is extremely favorable
26STRICTLY PRIVATE AND CONFIDENTIAL
Investors & Allocation
Instead of the “proportional” distribution, we aimed to reflect issuer preference in the allocation
The final allocation is determined based on both order demand & investor characteristics
InsuranceCompanies
19%
Postal Savings12%
CommercialBanks51%
Rural CreditUnions
2%
Mutual Funds6%
SecuritiesCompanies
8%Others
2%
Postal Savings13%
InsuranceCompanies
15%
SecuritiesCompanies
2%
CommercialBanks57%
Rural CreditUnions
6%
Mutual Funds5%
Others2%
Order Distribution by Investor Type Allocation By Investor Type
27STRICTLY PRIVATE AND CONFIDENTIAL
The Panda bond represents a step towards adopting global best practices particularly in
disclosure, documentation, and deal management
….it will help develop an interest-rate system that is more market based and provide an
outlet for the country’s large pool of savings….
A well functioning bond market will enable China to reduce the risk of over dependency
on bank lending……
The success of ADB issue demonstrates the readiness of China’s bond market for participation by foreign issuers and
investors….
Positive Media Reactions
BEST Multilateral DEAL IN Local CURRENCY
Emerging Markets - 4th May 2006
28STRICTLY PRIVATE AND CONFIDENTIAL
Highlights of the Deal
The debut of Panda Bond issued by International Development Institutions
The first internationally AAA rated bond available to Chinese investors on the domestic market
Catalyst to the opening of Chinese capital market as one of the first foreign issuers
Another remarkable achievement for ADB in local currency markets
Carefully prepared and successfully arranged one-on-one meetings and roadshows helped the issuer and investors learn about each others effectively, ensuring successful pricing & optimal allocation
Book-building and pricing mechanism accurately reflected investor demand at the time, and truly achieved “market driven pricing”
Order oriented allocation ensured bonds are held by real interested investors
Close cooperation between the issuer and the lead manager
BOCI provided one-stop service from advisory, underwriting, to post-offering support
Well-established sales network guaranteed the success of the offering
STRICTLY PRIVATE AND CONFIDENTIAL
II. ADB Panda Bonds Case Study 1. Transaction Summary 2. Marketing Strategy 3. Deal Execution 4. For Future Issuers
30STRICTLY PRIVATE AND CONFIDENTIAL
Requirements Under Current Interpretation
The bond is to be rated AA or better by domestic PRC credit rating The bond is to be rated AA or better by domestic PRC credit rating agenciesagencies
Pre-Qualification of the Issuer
Have made loans to and/or equity investments in domestic projects in Have made loans to and/or equity investments in domestic projects in excess of US$1 billion in totalexcess of US$1 billion in total
Proceeds from the bond to be used as mid- to long- term loans for fixed Proceeds from the bond to be used as mid- to long- term loans for fixed assets or equity investments, which should be in line with China’s assets or equity investments, which should be in line with China’s industrial policyindustrial policy
Potential issuer must be an international development institution with a Potential issuer must be an international development institution with a strong focus on projects in Chinastrong focus on projects in China
Requirement for the Issuance
Past three years financial statements audited according to PRC GAAP to Past three years financial statements audited according to PRC GAAP to be provided as part of the application packagebe provided as part of the application package
31STRICTLY PRIVATE AND CONFIDENTIAL
Pricing Analysis
The benchmark treasury bond Other comparable domestic issues, such as the China
Development Bank (for financial institutions)
Tax Treatment Chinese Treasuries are the only bonds in China whose coupons are
not subject to income tax. An appropriate premium due to tax treatment would need to be added for all other bonds
Liquidity Spread Depending on the size and estimated trading liquidity of the
bond, investors would expect to receive a premium on the issue
Other Factors Other factors may also come into play to affect the pricing of
the bond, such as familiarity of the credit, investor preference and also market volatility during the time of issue
Key Pricing Benchmarks
Adjustments Over Benchmark
32STRICTLY PRIVATE AND CONFIDENTIAL
10-year Chinese Treasuries are currently trading at 2.85% (May 23, 2006)
CDB’s 10-year bond currently trades at around 25 bps spread over the Treasury, while the historical spread of CDB bonds over Treasuries ranged from 15-30bps
Issue Date Maturity Date YTM Over Treasury
Chinese Treasuries
CDB
2/28/2005
8/2/2005
2/28/2015
8/2/2015
-
25
Comparables Pricing
1. Pricing as of May 23, 2006 , 2. Pricing as of May 24, 2006
2.85%1
3.10%2
STRICTLY PRIVATE AND CONFIDENTIAL
III. BOCI Credentials
34STRICTLY PRIVATE AND CONFIDENTIAL
BOCI: A Unique Fixed Income House
Combination of local expertise and international capital markets experience
The only investment bank with full RMB and international debt
capabilities
Leader in the RMB debt market
Exceptional distribution capability
BOCI’s Unique Advantage
Strong backing of the BOC Group
BOCI Research sets the industry standard
35STRICTLY PRIVATE AND CONFIDENTIAL
BOCI: BOC’s Investment Banking Arm
Leading investment bank with global
operations
Leading investment bank with global
operations
Premier commercial bank in China and
Hong KongOther Businesses
100%
BOCI China
(Domestic Debt and
Equity Markets)
49% Controlling Stake
Bank of China is China's oldest and pre-eminent commercial bank since 1912
BOCI is Bank of China’s wholly-owned Investment Banking arm
36STRICTLY PRIVATE AND CONFIDENTIAL
Strength of BOC Group
BOC Group’s strength is demonstrated by being ranked #2 in the Asia (ex-Japan) bond issuance market since January 2005 to date, according to Finance Asia
According to AsiaMoney, BOCI ranked #7 in the Hong Kong G3 currency bond issuance market (incl. Red Chips) within a short time frame of one year
Bond Issuance – Asia( ex-Japan )
Korean Development Bank
BOC Group
Citibank
HSBC
JP Morgan
ICBC
Deutsche Bank
China Construction Bank
Agriculture Bank of China
Woori Finance Holding
Ranking
1
2
3
4
5
6
7
8
9
10
Underwriter
G3 Bond Issuance – Hong Kong (Incl. Red Chips)
JP Morgan
HSBC
Deutsche Bank
ABN Amro
Morgan Stanley
Merrill Lynch
BOCI
Citigroup
CSFB
Ranking
1
2
3
4
5
6
7
8
9
Underwriter
Source : Finance Asia Source : Asia Money
1st Half 2005 1st Half 2005
37STRICTLY PRIVATE AND CONFIDENTIAL
Corporate Bonds Up to Oct. 30, 2006, we have led and participated in 47 corporate
bond offerings. From 2002 to 2005, the annual amount of corporate bonds we underwrote grew from RMB 285 million to RMB 4.5 billion
In early 2003, BOCI joined the underwriting syndicate for exchange-listed Government bonds. In 2004, we became a tier one member of the treasury bond syndicate and a member of the underwriting syndicate for China Development Bank’s financial bonds. From then on, BOCI has continuously kept the first position among all securities companies in those two syndicates
Thanks to our research capabilities, we constantly design and promote new fixed income instruments tailored to meet our clients’ financing needs. New products such as subordinated bonds, Asset-Backed Securities, structured financing facilities, are also well received among institutional investors
Governmentand Financial
New Products
Leadership In The Domestic Debt Market
38STRICTLY PRIVATE AND CONFIDENTIAL
Lead
CITIC GuoAnCorporation
RMB 1.5 Billion
2004
Sole Lead
Zhejiang TrafficCorporation
RMB 1.4 Billion
2004
Joint Lead
China ResourcesCorporation
RMB 3 Billion
2005
China Railway Department
RMB 5 Billion
2005
Joint Lead
Co - Lead
State Grid
RMB 4 Billion
2005 2005
Co - Lead
China NuclearIndustry
RMB 2 Billion
Air China
RMB 3 Billion
Co - Lead
2005
Sole Lead
Asian DevelopmentBank
RMB 1 Billion
2005
Sole Lead
Fujian IndustryBank
RMB 10 Billion
2005
Leader In The Domestic Bond Market
Joint Lead
Petro China
RMB 1.5Billion
2003
Joint Lead
2006
Sole Lead
Yuntianhua Group
RMB 1 Billion
2006
China ResourcesCorporation
RMB 3 Billion
Sole Lead
Fujian IndustryBank
RMB 5 Billion
2006
2006
Zhongyuan Expressway
CompanyRMB 1.5Billion
Co-Lead
2006
SinohydroCorporation
RMB 1.2BillionCo-Lead
39STRICTLY PRIVATE AND CONFIDENTIAL
BOCI is the only Chinese institution that has the capacity of issuing and trading bonds in the international capital market
BOCI is establishing itself as a major force in G3 currency debt issuance by Chinese and Hong Kong corporates, governments and quasi-government organizations
Combining our dedication to a single issuing client market with significant international debt markets expertise
Ability to navigate local regulatory framework through strong relationships with the Ministry of Finance, PBOC, CSRC, National Development and Reform Commission and other regulatory bodies
Access to major international investors through sales teams in Hong Kong, Singapore, London, Shanghai, and Beijing
In addition, we are introducing to the fixed income investment market a new class of investors: PRC institutions investing in foreign currency assets
We have participated in major foreign currency transactions Arranger, Joint Global Coordinator and Bookrunner for Hong Kong SAR Government’s Ina
ugural Multi-currency Global Bond and China Merchants Holdings (International)’s US$500m global offering
In 2005, BOCI was a Joint Lead Manager in China Eximbank’s US$1.0bn Global Bond Offering
Co-lead manager in the PRC Sovereign Issue, China Eximbank and China Development Bank in 2004 and 2005
Unique Position in International Debt Markets
40STRICTLY PRIVATE AND CONFIDENTIAL
Senior Roles in Major G3 Currency Bond Offerings
Arranger, Joint Global Coordinator & Bookrunner
HKSAR Government
HK$20.0billionInaugural Multi-Tranc
he Global Bond
2004 1997
Joint Lead Manager
US$300mFixed Rate Notes
Co-lead Manager
Bank of China
US$150mFixed Rate Notes
1999
Co-lead Manager
CNOOC Limited
US$500mFixed Rate Notes
2002
Co-lead Manager
Peoples Republic of China
US$500mFixed Rate Notes
2004
Senior Co-lead Manager
Peoples Republic of China
US$1.0billionFixed Rate Notes
2001
Co-lead Manager
China Development Bank
US$500mFixed Rate Notes
2003
Co-lead Manager
China Export-Import Bank
US$200mFixed Rate Notes
1999
Senior Co-lead Manager
China Agricultural Bank
US$140mFixed Rated Notes
1999
Co-lead Manager
Peoples Republic of China
DM500mFixed Rate Notes
1997
1999
Joint Lead Manager
China Mobile (HK)
US$600mFixed Rate Notes
2005
Chaoda Modern Agriculture
US$225m
High Yield Offering
Co-lead manager Co-lead Manager
China Development Bank
US$600m/Euro 325mFixed Rate Notes
2004
Co-lead Manager
China Export-Import Bank
US$750mFixed Rate Notes
2004
US$1.0billionGlobal Bond
2005
Joint Lead Manager
China Export-Import
BankUS$500millionGlobal Bond
2005
Arranger, Joint Global Coordinator & Bookrunner
China Merchants International
US$375mPrivate Placement
2005
Advisor/Investor
Shui On Land
Co-lead Manager
China Development Bank
US$100billionFixed Rate Notes
2005
Contact Details
BOC INTERNATIONAL (China) Limited
Room 705, Tower E1, Oriental Plaza, No.1, East Chang An Ave., Dong Cheng District, Beijing, 100738, China Internet: www.bocigroup.com
Cynthia Wang
Fixed Income
Tel: 8610 – 85184028
Fax: 8610 –85184072
e-mail: