According to the information disclosed by peacock, the registration information system for debt financing instruments of non-financial enterprises, the registration of the first phase of 2022 medium-term notes (mergers and acquisitions) issued by China Merchants Shekou Industrial Zone Holdings Co.Ltd(001979) has been completed.
According to the relevant prospectus, the registered amount is RMB 3 billion, and the current issuance amount is RMB 2.58 billion, of which the term of variety I is 3 years and the initial issuance scale is RMB 1.29 billion; The term of variety II is 5 years, and the initial issuance scale is 1.29 billion yuan. It is proposed to use RMB 1.29 billion to support enterprises with strong synergy in the industry to alleviate liquidity pressure (including but not limited to replacing the issuer’s early investment and subsequent asset investment and acquisition); 1.29 billion yuan was used to repay the company’s bank loans.
In terms of the use of raised funds, the prospectus shows that the project of company a is a residential urban renewal project. Company B, the shareholder of company a, transferred 80% of the equity and creditor’s rights of company a on August 9, 2021, which was finally won by the subsidiary of the issuer. So far, China Merchants Shekou Industrial Zone Holdings Co.Ltd(001979) , company C and company B finally hold 40.8%, 39.2% and 20% of the equity of company A. The issuer is the largest shareholder after this M & A. The acquisition price of the issuer is about RMB 2.154 billion, and the funds raised from the issuance of bonds are RMB 1.29 billion for M & A, with an amount not exceeding 60% of the total M & a price, replacing the issuer’s early investment and subsequent asset investment.
The prospectus also shows that due to the huge volume of the residential project, it is necessary to introduce developers with strong capital and operation ability to ensure the smooth progress of the project and avoid stranding in the middle of the project. As an industry benchmark, the issuer actively participated in the M & A of the residential project, injected funds into the major project, and set a good example for the healthy development of the real estate industry.
On December 10 last year, Bank Of China Limited(601988) Association of market dealers held a symposium on representatives of real estate enterprises. According to participants, the dealers association will focus on supporting enterprises in line with real estate regulation policies to register and issue medium and long-term debt financing instruments, and the raised funds will be used to supplement the capital gap of sold projects under construction, as well as for the acquisition of real estate projects or assets, so as to actively meet the reasonable financing needs of real estate and promote the healthy development and virtuous cycle of the real estate industry.
