On July 23, Sinochem Hong Kong (Group) Co., Ltd. ("Sinochem HK" or “the Company”) successfully conducted the inaugural issuance under its $2 billion Commercial Paper (CP) Program. The initial issuance amount was $500 million, marking the first ECP transaction by Sinochem Holdings Corporation Ltd. (“Sinochem Holdings”) in Asia.
This was a dual tranche transaction with tenors of 3 and 5 months, with issuance amounts of $350million and $150 million. The coupon rates were nearly 8 basis points lower than the company's short-term working capital loan rates. The issuance attracted significant interest from a diverse group of institutional investors, including from banks, funds, asset managers, corporates, and private banks. This robust participation highlights the strong market recognition of Sinochem Holdings and Sinochem HK.
As the sole offshore investment and financing platform of Sinochem Holdings, Sinochem HK is closely integrated with the international capital markets. It has pioneered the commercial paper market in Hong Kong through its first ECP issuance. Sinochem HK is committed to enhancing its financial stability, actively expanding financing channels, and supporting Sinochem Holdings' high-quality development. This transaction broadens the company's short-term financing avenues, sets a benchmark for central SOE issuing ECP in the Asian market, and enhances Sinochem Holdings' influence in the international capital markets.