Chinese Real Estate Firms Rush to Issue Bonds After Fundraising Slowdown
Chen Shuzhen
DATE:  Jan 17 2018
/ SOURCE:  Yicai
Chinese Real Estate Firms Rush to Issue Bonds After Fundraising Slowdown Chinese Real Estate Firms Rush to Issue Bonds After Fundraising Slowdown

(Yicai Global) Jan. 17 -- Real estate companies have rushed to issue bonds to raise capital for buying land, building materials and supporting facilities in the new year after a slowdown in fundraising last month.

The yuan has strengthened against the dollar recently, making for a good time to optimize debt structures and reduce the cost of borrowing by issuing dollar-denominated bonds, an insider at a real estate company told Yicai Global.

Shenzhen Overseas Chinese Town Co., China Jinmao Holdings Group Ltd., Country Garden Holdings Co., Thaihot Group Co., Longfor Properties Co. and China Vanke Co. announced plans to raise money domestically and abroad.

While most large and medium-sized real estate companies have developed and reported satisfactory financial results, regulations and policies from insurance groups, banks and other financiers still cause them grief.

The amount 40 listed real estate firms raised dropped 40 percent month-on-month to CNY69.7 billion (USD10.8 billion) in December last year, per Tospur Real Estate Consulting Co. data.

Follow Yicai Global on
Keywords:   Real Estate Companies