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Tencent aims to raise $4 billion in bond deal - sources

Reuters2021-04-15

HONG KONG, April 15 (Reuters) - Chinese internet and social media giant Tencent Holdings Ltd plans to raise up to $4 billion in a bond launched on Thursday, two sources with direct knowledge of the matter said.

The deal has been launched with 10-, 20-, 30- and 40-year tranches, according to a term sheet reviewed by Reuters.

The deal sheet did not specify an exact figure but sources said the company was targeting to raise $4 billion from the issue, which would be its second major fundraising deal in a year.

Tencent did not immediately respond to a request for comment.

The company has approval from the National Development and Reform Commission (NDRC) to raise up to $4.15 billion, one of the sources added.

The sources could not be named as the information has not yet been made public.

Tencent raised $6 billion in May last year and issued 40-year debt for the first time.

The company intends to use proceeds from capital raisings for general corporate purposes.

Price guidance for the 10-year tranche is around U.S. 10-year Treasuries plus 165 basis points and the 20-year at U.S. 20-year Treasuries plus 175 basis points, according to the term sheet.

Price guidance for the 30- and 40-year tranches has been set at 185 basis points and 195 basis points, respectively, against the long term benchmark rate, the sheet showed.

Final terms and pricing are due to be set for the Hong Kong listed Tencent later on Thursday during U.S. trading hours, the two sources said.

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Comment15

  • huat168
    ·2021-04-15
    ???
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  • OYM
    ·2021-04-15
    Nice
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  • Barbarazhao
    ·2021-04-15
    Smart move 
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  • Gab_Boey
    ·2021-04-15
    Nice!
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  • HUATkueh
    ·2021-04-15
    Ok
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  • TheOneeee
    ·2021-04-15
    Like and comment please 
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  • YenChing
    ·2021-04-15
    Like and comment 
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    • HUATkueh
      Ok
      2021-04-15
      Reply
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  • JLCH
    ·2021-04-15
    wow
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    • JLCH
      wow
      2021-04-15
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  • JLCH
    ·2021-04-15
    wow
    Reply
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    • YenChing
      Wow
      2021-04-15
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  • roninwofws
    ·2021-04-15
    Great 
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  • DungeonMaste
    ·2021-04-15
    Great news
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  • Kk722
    ·2021-04-15
    Comment 
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    • EdmundOngJK
      comment
      2021-04-15
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    • Kk722
      Comment
      2021-04-15
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  • Hayz
    ·2021-04-15
    Good move, with so much money printing and low interest rates, no need to go to bank.
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    • beankim
      great
      2021-04-15
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    • Agro
      Agree
      2021-04-15
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  • Kaiiiiiii
    ·2021-04-15
    :) 
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