China Life mandates banks for up to $2 billion bond offering By Reuters

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<span>© Reuters. FILE PHOTO: Logo of China Life Insurance is seen on a door at a branch in Beijing, China, March 24, 2016. REUTERS/Jason Lee/File Photo</span><br />
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<p>By Georgina Lee and Scott Murdoch</p>
<p>HONG KONG (Reuters) – China Life Insurance (Overseas) Hong Kong has mandated banks for its 10-year subordinated bond offering, according to a preliminary term sheet seen by Reuters on Monday.</p>
<p>The Hong Kong arm of China’s second-biggest insurer by assets is looking to raise between $1 billion and $2 billion, people with direct knowledge of the matter have previously said. </p>
<p>One of the people confirmed that the amount has not changed and that the offering is likely to be launched later in day.</p>
<p>China Life did not respond to an email from Reuters seeking comment on the deal.</p>
<p>The bond is expected to be rated A- by S&amp;P Global (NYSE:), and will be callable, giving the issuer the right to redeem after five years, according to the term sheet.</p>
<p>In mid-July, the insurer was sounding out investors about pricing it at 120 basis points (bps) to 130 bps above five-year U.S. Treasuries, or a yield of 5.25% to 5.5%, sources told Reuters at the time.</p>
<p>It will be priced as early as Tuesday, according to the term sheet. </p>
<p>The last time China Life tapped the bond market was in March 2019, when it issued 35 billion yuan’s worth in China’s interbank bond market.</p>
<p>The company, which reported 327.2 billion yuan ($45.7 billion) premium income in the first quarter had no outstanding dollar debt as of its 2022 annual report. </p>
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<br /><a href="https://www.investing.com/news/stock-market-news/china-life-mandates-banks-for-up-to-2-billion-bond-offering-3146188">Source link </a></p><p>The post <a href="https://forextraderhub.com/china-life-mandates-banks-for-up-to-2-billion-bond-offering-by-reuters.html">China Life mandates banks for up to $2 billion bond offering By Reuters</a> first appeared on <a href="https://forextraderhub.com">Forex Trader Hub</a>.</p>