CICC Issues USD1 Billion Senior Floating Rate Notes
CICC successfully issued USD1 billion 3-year floating rate notes at 3mL+90bps on February 10, 2020.
The notes constitute senior unsecured liability and drawdown of CICC’s existing USD3 billion GMTN programme. On the back of volatile market conditions caused by the coronavirus outbreak, CICC announced the transaction and book-opening on the same day to capture positive market sentiment at starting of the week and executed the USD1 billion transaction intra-day. On top of the sizeable deal, the final price is also narrowed by 30 basis point compared to the initial price guide.
The deal came into the spotlight of the market. The book is well covered within half an hour after opening and exceeded USD4.2 billion at peak, representing 4x oversubscription. The offering attracted high-quality investors with orders from over 140 accounts including renowned Chinese and foreign funds, asset management companies, banks, insurance companies and private banks.
The transaction is CICC’s first public bond offering in the offshore capital markets this year and achieved satisfactory outcomes in both financing scale and cost of funding, reflecting a high degree of credit recognition of CICC in the international capital markets.