Yuexiu Group Successfully Issued The Third Issue of Medium-term Notes in 2019
Release Date:2019-09-05 14:57:03

On August 30, Yuexiu Group successfully issued the third issue of medium-term notes (perpetual medium-term notes) in 2019, with a total amount of RMB 1 billion, a term of 3+N years, and an interest rate of 3.97%, which is about 50BP lower than the AAA-level local state-owned enterprises' perpetual medium-term notes at the same period since August, the lowest interest rate in perpetual medium-term notes in Guangdong Province since 2019.

In the second half of 2019, the downward pressure on the macro economy increased. Under the influence of internal and external factors, the market generally expects interest rates to continue to decline in the future. The current 10-year government bond yield has hit a 3.0% mark and is at a historically low level. In August, Yuexiu Group kept a close eye on the market and completed the perpetual medium-term notes filing and investor promotion work in mid-August. Yuexiu Group seized the time window and successfully completed the issuance on August 30th.

The issue of medium-term notes was recognized and sought after by the market. According to statistics, the issue received a total of 3.4 times subscription, the cumulative purchase amount reached RMB 3.4 billion, and finally the issue interest rate was locked at 3.97%, and the marginal multiple was 1.1 times. The successful issuance of the perpetual medium-term notes has raised low-cost funds for the development of the Group's major industries. The overall asset-liability ratio of the Group has been reduced, which provides strong support for achieving sustainable development.