DeHeng Advised China Railway Construction Investment Group
on Bond Issuance for COVID-19 Prevention and Control
2020-03-16
In March 2020, China Railway Construction Investment Group Co., Ltd. successfully issued the second-tranche bonds (for COVID-19 response) of 2020 worth of RMB 500 million, with a term of 3+2 years, a credit rating of AAA, the issuer's principal credit rating of AAA and a coupon rate of 3.20%. No less than 12% of the money raised will be earmarked for the battle against COVID-19.
China Railway Construction Investment Group was established in Beijing in May 2011, with a registered capital of RMB 12 billion, and is a wholly-owned subsidiary of China Railway Construction Corporation Limited (CRCC), a state-controlled enterprise. CRCC is one of the most competitive and largest comprehensive construction groups in China and the world, ranked 59th in 2019 in Fortune Global 500, third in the world's 250 largest contractors by Engineering News-Record (ENR) magazine in the United States, and 14th in 2018 China Top 500 Enterprises.
As the legal counsel of the issuer, the DeHeng team, led by partners Hou Zhiwei and Zhang Yan in its Beijing office, with primary support from lawyer Yang Jingjing, worked closely and actively with the issuer, underwriters and the rating agency, and provided professional, comprehensive and efficient legal services for the client.
