On July 24th, Gelunhui reported that Zhongsheng Holdings (00881.HK) announced that on July 23, 2024, the company (as an issuer) and the joint lead underwriter entered into a subscription agreement. Accordingly, the joint lead underwriter has conditionally agreed to subscribe and pay, or cause subscribers to subscribe and pay for, the company's issuance of new bonds with a total principal amount of 600 million US dollars (5.98% annual interest rate bonds maturing in January 2028).
The new bonds are expected to be listed on the Hong Kong Stock Exchange. The Company will apply to the Hong Kong Stock Exchange for approval for the listing and trading of the new bonds. The total proceeds from the bonds issue will be 594.8 million US dollars. The net proceeds from the bond issuance (after deducting commissions and expenses) will be used for refinancing offshore debt (including, but not limited to, providing funds for the purchase of bonds due in 2026 under tender offers).