Chinese companies are issuing convertible bonds at a record rate this year, as they hunt for cheap forms of financing and a way to boost their offshore cash balances. Ecommerce company Alibaba, which in May raised one of the largest convertible bonds on record at $5bn, and insurer Ping An, which raised $3.5bn in July, are among companies driving the rush to issue a form of debt that surged in popularity in western markets during the coronavirus pandemic.
Corporates, meanwhile, are increasingly embracing buybacks as a way of helping their share price performance and becoming more investor-friendly. Stock buybacks on mainland exchanges are still on track for a record high in 2024. Another key driver of issuance by mainland Chinese companies is to hold cash offshore, at a time when mainland regulators are making it tougher to move money outside the country.
South Africa South Africa Latest News, South Africa South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: TIME - 🏆 93. / 53 Read more »