Sino-Ocean Land Treasure IV issued USD200 million 3.8% credit history increased eco-friendly notes thanks 2025 backed by a standby letter of credit (SBLC) from China Zheshang Bank.
Paul Hastings acted as the English and Hong Kong counsel, Maples Group acted as British Virgin Islands counsel and Cathay Associates Kejie encouraged on PRC regulation to the issuer and guarantor. The guarantor is Sino-Ocean Land Treasure IV’s parent corporation Sino-Ocean Team.
Paul Hastings’ staff was led by company companion Vivian Lam with support from counsel Jeff Lee and affiliate Hulka Lo.
Linklaters suggested on English regulation for the joint lead administrators and the trustee while King & Wooden Mallesons acted as counsel on PRC law for the joint guide supervisors.
The issuance was the 3rd offshore bond presenting from the Chinese house sector with SBLC so significantly this calendar year. The prior two ended up Greenland Team and Excellence Business Management.
A few effective promotions promoted anticipation that Chinese home companies can use SBLC-backed trades as a credit rating-improved way to raise money owing to uncomplicated recourse and distinct drawdown circumstances.
Vivian Lam instructed China Business enterprise Law Journal that SBLC-bondholders can instantly desire payment from the issuing financial institution in the scenario of issuer default.
Lam said it was vital to note that issuing SBLC bonds concerned a confirmed bank so sufficient time need to be allowed to negotiate the kind of the SBLC. This experienced to encompass the “scope of safety necessary by the bondholders with a expression that is enough to go over the phrase of the bond situation plus a assert period”.
