Temasek to issue five-year, 750 million offshore yuan bond

SINGAPORE state investor Temasek will issue 750 million offshore yuan worth of five-year guaranteed notes at a coupon rate of 3.2 per cent, it announced on Tuesday (Jan 30).

Called the T2029-CNH Temasek Bond, the instrument will be rated Aaa by ratings agency Moody’s. It is expected to be issued on Feb 6 and listed on the Singapore Exchange the next day, said Temasek.

The bond is guaranteed by Temasek and will be issued under the US$25 billion Guaranteed Global Medium Term Note Programme of the entity Temasek Financial (I).

The bond issuance enables Temasek to expand its investor base and “access a new liquidity pool at competitive pricing”, said a spokesperson for the state investor.

“We continually evaluate funding opportunities across the different markets, factoring in considerations such as our funding requirements, market conditions and other organisation objectives,” the spokesperson said.