DeHeng Advised Hongfeng on Issuing A-share Convertible Corporate Bonds to Non-specific Investors

2022-01-20

On January 14, 2022, Wenzhou Hongfeng Electrical Alloy Co. Ltd. issued convertible corporate bonds to non-specific investors on ChiNext and obtained the approval of China Securities Regulatory Commission for registration. The total issuance scale was RMB 320 million, the credit rating of the issuer was A, the credit rating of the bonds was also A, and the term of the bonds was 6 years. The bonds are issued at par value. The money raised will be used for the project of Intelligent Manufacturing of High-end Precision Cemented Carbide rods with the Annual Output of 1,000 tons, the Industrialization Project of Composite Materials and Components for Temperature Sensors and the Silicon Carbide Single Crystal R&D Project. 

As the legal counsel for the issuance, the DeHeng team, with primary support from partners Li Guangxin and Qi Hui, worked closely and actively with the issuer and other intermediary agencies and provided professional, high-quality and efficient legal services for this issuance. This was another major case of DeHeng after the case of advising on Hongfeng to go public and issue  A-share stocks to specific investors, which effectively contributed to the goal of serving the real economy with the capital market. In the future, DeHeng will continue to provide the client with high-quality legal services and facilitate its rapid growth.