Clifford Chance

Clifford Chance advises on China Shipping (Group)'s US$500 million credit enhanced bonds

Hong Kong: Leading international law firm Clifford Chance has advised the joint lead managers and bookrunners on the issue of US$500 million 4.25 per cent credit-enhanced bonds due 2019 by China Shipping Overseas Finance 2013 Limited, an indirectly wholly-owned subsidiary of China Shipping (Group) Company. The joint global coordinators, joint lead managers and joint bookrunners include Bank of China, Deutsche Bank, BofA Merrill Lynch, Australia and New Zealand Banking Group Limited, Bank of Communications Co., Ltd., Hong Kong Branch, Barclays Bank PLC, DBS Bank Ltd and ING Bank N.V., Singapore Branch.

The credit enhancement is by way of an irrevocable standby letter of credit issued by Bank of China Limited, Macau Branch.  This is the first time that China Shipping, the second largest shipping company by assets in the PRC, has tapped the international US$ bond market.

Capital Markets partner Connie Heng comments, "We're delighted to work on the launch of another credit-enhanced bond. There continues to be healthy investor appetite for debt issuances utilising these structures."

The Clifford Chance team comprised partner Capital Markets partner Connie Heng and associates Linda Cheng, Mark Chan and Torrance Shi in Hong Kong.