芥川日本语

1st enterprise bond of Wuxi in 2016 issued

Recently, the enterprise bond of RMB 1.6 billion of Wuxi Huikai Economic Development Co., Ltd., a subordinate platform of the Wuxi Huishan Economic Development Zone, has been officially issued, which is not only the 1st enterprise bond to be issued publicly in Wuxi in 2016 and is also the enterprise bond with the largest issuance scale in Wuxi in the past 3 years.

Reportedly, with time limit of 7 years, the enterprise bond adopts fixed rate, calculates interest per year, and will be issued by marketization. The stated interest rate is 4.16%, 15.1% less than benchmark loan rate of bank at the corresponding period, and the issuance rate is at low level at the same period. The capital is mainly used for building Huishan Life Science and Technology Innovation and Entrepreneurship Demonstration Base Construction Project and Huishan New Energy Resources Equipment Manufacturing Innovation and Entrepreneurship Demonstration Base Project and for supplementing operating fund. Taking that as opportunity, the Wuxi Huishan Economic Development Zone will actively expand PPN, asset securitization, stock right financing and other new financing channels, further improve proportion of direct financing, and reduce financing cost, thus offering fund guarantee for expanding effective investment and propelling project construction.