The global impact of Covid-10 pandemic is still uncertain. JunHe has recently assisted several central SOEs in successfully completing offshore bond issuance by selecting a favorable time window for the issuance, making a joint effort with the clients in fighting against impact of the Covid-19 pandemic.
China Oilfield Services Limited (“COSL”)
On 24 June 2020, China Oilfield Services Limited (“COSL”) successfully completed 0.5billion 5-year USD note and 0.3billion 10-year USD note issuance through its overseas subsidiary. This issuance has the lowest integrated cost and highest oversubscription multiple in COSL’s history of issuing USD-denominated notes, and lays a solid foundation for the COSL overseas capital market operation.
JunHe acted as legal counsel to the underwriters in this Project. The leading partner is Mr. YU, Yongqiang (YY).
China National Petroleum Corporation (“CNPC”)
On June 23, 2020, China National Petroleum Corporation (“CNPC”) successfully issued 2 billion USD offshore bonds through its overseas subsidiary.
This is CNPC’s return appearance in USD bond market since its last movement six years ago, and is the largest issuance under Regulation S by a Chinese investment-grade enterprise since 2020. The cost of profitability for each year was the lowest of any oil and gas issuer in the world since early 2020, and the financial cost is the lowest ever for a Chinese issuer in the USD bond market, with the lowest 10-year coupon rate in the worldwide oil and gas USD bond history. In the context of low oil price effected by the Covid-19 epidemic, the three biggest international credit rating agencies still rated CNPC as in China’s sovereign rating grade, which fully demonstrates CNPC’s sound financial strength and high credit quality.
JunHe acted as legal counsel to the underwriter in this project. The leading partner is Mr. YU, Yongqiang (YY). The responsible partner is Ms. LEI, Tianxiao.
China Huadian Corporation (“CHD”)
On June 23, 2020, China Huadian Corporation (“CHD”) issued 0.5billion USD perpetual bonds through its overseas subsidiary. The USD perpetual bond issuance is a major implement of CHD to the “Belt and Road” initiative and another successful exploration on the international capital market.
China Gold Group
On June 23, 2020, China Gold International Resources Corp Ltd (stock code: CGG.TSX, 02099. HK) - the only overseas listing platform owned by China National Gold Group Corporation, the largest gold producer in China, successfully issued 0.3billion 3-year USD secured notes, which were simultaneously listed on the Stock Exchange of Hong Kong and ChongWa (Macao) Financial Asset Exchange CO., Ltd.
JunHe acted as legal counsel to the underwriter. The leading partner is Mr. YU, Yongqiang (YY). The responsible partner is Ms. TENG, Xiaoyan (Tina).
On June 4, 2020, AVIC Capital Co., Ltd. (“AVIC Capital”) issued 0.4billion 5-year USD notes through its overseas subsidiary. As AVIC Capital’s debut on overseas capital market, this offshore issuance project is significant for AVIC to open up overseas financing channels and expand its international market.
JunHe acted as legal counsel to the issuer in this project. The leading partner is Mr. YU, Yongqiang (YY). The responsible partner is Ms. LEI, Tianxiao.