Investors snap up China property developer bonds
Notes sold in July and August by Chinese developers attracted orders 6.3 times the issue size, compared with 2.5 times in May and June
Hong Kong
US dollar bonds sold by China's property developers are being lapped up by investors, lured by the companies' stronger earnings and improving credit profiles.
Notes sold in July and August by Chinese developers attracted orders 6.3 times the issue size, compared with 2.5 times in May and June, according to data compiled by Bloomberg where deal statistics are available. The firms are taking advantage of the better sentiment, with bond sales rising to a record US$35.2 billion this year.
"In China, we still like the property sector," said Ken Hu, chief investment officer for Asia-Pacific fixed income at Invesco Hong Kong Ltd. Property companies' sales and cash flows are pretty strong and their inventory levels have been improving, he sa…
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Property
Apple to invest US$250 million into expanding Ang Mo Kio campus
High Court dismisses Chinese businessman’s claims against Huttons and agent in misrepresentation suit
US 30-year mortgage rate rises to a four-month high of 7.13%
US homebuilding retreats as housing recovery stalls
China Vanke seeks to sell 21.4% stake in logistics operator GLP
Fannie Mae’s new mortgage-scoring system aims to lift MBS demand