Yuexiu Property Company Limited (00123) reported that Guangzhou City Construction & Development Company Limited, its 95%-owned indirect subsidiary in the PRC, plans to issue the 2026 first tranche of corporate bonds in a size not exceeding RMB700 million. The bonds have been divided into two types: Type 1 Bonds with a five-year term and an option to adjust the coupon rate at the end of year three, and Type 2 Bonds with a seven-year term and an option to adjust the coupon rate at the end of year five.
Both the issuer and the 2026 First Tranche Corporate Bonds have received a credit rating of “AAA” from China Chengxin International Credit Rating Co., Ltd. According to the announcement, the net proceeds will be used to repay maturing corporate bonds. Full details have been disclosed on the website of the Shanghai Stock Exchange. As the issuance may or may not proceed, investors are advised to exercise caution when dealing in the securities of Yuexiu Property.
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