TCL Technology‘s debut issuance in the offshore USD-denominated bond market
On 7 July 2020, TCL Technology Group Corporation (Stock Code: 000100.SZ) completed its debut issuance in the offshore USD-denominated bond market. TCL issued a total of US$300m credit-enhanced notes, due in July 2025 with a coupon of 1.875%. The notes are listed on Singapore Exchange. BOC Guangdong Branch provided a Standby Letter of Credit (SBLC) for the notes, earning the notes an A1 rating from Moody’s. Admiralty Harbour, a key subsidiary of TCL Technology Group Corporation, acted as a special advisor to the issuer, joint bookrunner and joint lead manager on this transaction.
The issuance attracted great interest from international investors, total book peaked at around US$2.9bn. On the back of resilient investor support, the issuer successfully priced the deal at 57.5 bps tightening from IPG. Final book size was US$1.97 billion (6.6x oversubscribed from 82 accounts), 87% of which were from Asia and 13% were from EMEA, investor profile breakdown was 51% fund managers, 37% banks, 7% corporates/PB/Insurance and 5% hedge fund.
TCL, a global household name since the 90s, takes another step forward into the international capital markets with the debut notes, continuing its mighty quest on cementing the company as one of the leading corporations in the world.