Blossom Joy Limited, an overseas subsidiary of COFCO (Hong Kong) Limited ("COFCO Hong Kong"), successfully issued USD500 million of Senior Notes and USD500 million of subordinated perpetual bonds on October 21, 2020, which were guaranteed by COFCO Hong Kong.
This Offering is of dual varieties. Variety I: The USD 500 million Senior Note has a maturity of 10 years, a coupon of 2.200%, a yield to maturity of 2.217%, and an issue price of 99.848. The final price is 40 basis points narrower than the initial price guidance; Variety 2: USD 500 million subordinated perpetual bonds, which cannot be redeemed within the first five years, with coupons of 3.100%, and are issued at parity. The final price is 40 basis points narrower than the initial price guidance.
COFCO Hong Kong is a wholly owned subsidiary of COFCO Corporation. As a benchmark subsidiary of COFCO Corporation, COFCO Hong Kong undertakes the important task of COFCO Corporation’s overseas business development strategy.
With 70 years of development, COFCO Corporation has a leading position in the Chinese market. Its business has spread to more than 140 countries and regions. It is an international first-class grain enterprise based in China and has the largest market and development potential in agriculture, grain, oil and food with global layout and whole industry chain.
JunHe acted as the domestic legal adviser of the issuer in the project, which lasted for 3 months from the start of the project to the successful delivery. Under the tight schedule of the project, JunHe overcame the influence of adverse factors such as epidemic situation, provided high-quality, rigorous and efficient legal services, including carried out domestic legal due diligence for the company, issued Chinese legal opinions, assisted in internal and external approval process of the company, assisted in reviewing transaction documents, and finally helped COFCO Hong Kong's overseas subsidiary Blossom Joy Limited successfully issued USD500 million of Senior Notes and USD500 million of subordinated perpetual bonds, which were guaranteed by COFCO Hong Kong. JunHe has been recognized and trusted by the company and other intermediary agencies with its rigorous and efficient work style, meticulous and dedicated service attitude.