State-owned firm issues $500 million bonds overseas

Xiangyu Group organizes six investor conferences and one luncheon in Hong Kong, six investor conferences in Singapore and five in London. [Photo provided to chinadaily.com.cn]

The $500 million bonds were finally subscribed by 133 active accounts worth $3.4 billion, a notable seven-fold oversubscription.

Fifty-one percent of the investors are investment funds, 36 percent are state banks, 9 percent are sovereign wealth funds and the rest are private banks.

Chen Fang, president of Xiangyu Group, said that the capital raised by the bonds will be used in the Group's projects in Indonesia, which are a key part of production capacity cooperation along the “Belt and Road” countries.

"The successful bond issue shows the favorable attitude of international investors towards the strength and development of China, Xiamen and Xiangyu Group," Chen commented. "It will help Xiamen attract more financial resources from the world, and it's a good basis on which Xiamen could construct a free trade port."

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