Clifford Chance has counselled the joint lead managers on Amber Circle Funding’s $500 million 2 percent guaranteed notes due 2017, and its $1 billion 3.25 percent guaranteed notes due 2022. Both notes are guaranteed by the China Development Bank Corporation’s (CDB) Hong Kong branch.
This is the largest Reg S-only transaction in Asia, and marks the first entry of CDB into the U.S. market after seven years.
The CDB bond also starred Linklaters as the issuer’s English/HK counsel, Herbert Smith Freehills as Hong Kong counsel, Walkers as Cayman law counsel, Jun He Law Offices as the manager’s PRC counsel and King & Wood Mallesons as PRC counsel.
This transaction rounded off a number of recent U.S. dollar bonds launched in Hong Kong by the firm, including its recent representation of the China Longyuan Power Group Corporation on the issue of $400 million 5.25 Reg S 144A perpetual senior securities by its subsidiary, Hero Asia Investment.
The China Longyan transaction saw Linklaters advise the managers as English legal counsel, while Jingtian & Gongcheng acted as the manager’s PRC counsel.
Clifford Chance also advised Gemdale International Investment on its issue of $350 million 7.125 percent Reg S 144A guaranteed bonds due 2017.
Other firms advising on the Gemdale matter include Linklaters as Hong Kong counsel to the joint lead managers as well as Commerce & Finance Law Offices as PRC counsel.
Hong Kong-based Clifford Chance capital markets partner Connie Heng led the team on the CDB and Gemdale bond issuances, and co-led the team with Beijing partner Tim Wang on the China Longyuan Power bond. Walkers, meanwhile, had Hong Kong partner Ashley Davies advising on the CDB.
"We're seeing an uptick in the number of Reg S issuances recently, as Asian companies look to tap the U.S. dollar market for cheap funding with its continued level of low interest rates," Heng said in a statement.
Seher Hussain is Southeast Asia journalist at ALB. Follow us on Twitter: @ALB_Magazine.
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